Kansas Pipeline Company

Original Volume No. 1

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Effective Date: 05/11/1998, Docket: CP96-152-015, Status: Effective

First Revised Sheet No. 281 First Revised Sheet No. 281 : Effective

Superseding: Original Sheet No. 281

GENERAL TERMS AND CONDITIONS (continued)

 

19. FORCE MAJEURE

 

In the event, to the extent, and for so long as either Kansas Pipeline or

Shipper is unable, by reason of force majeure, to carry out its obligations

hereunder, in whole or in part, the obligations of either Kansas Pipeline

or Shipper, other than to make payment of reservation fees or capacity charges

which shall become due, shall be suspended, in whole or in part, and neither

Kansas Pipeline nor Shipper shall be liable in damages to the other as a

result of Force Majeure. "Force Majeure," as employed herein, shall mean any

cause, whether of the kind herein enumerated or otherwise, not within the

control of either Kansas Pipeline or Shipper claiming suspension, and which

by the exercise of due diligence, either Kansas Pipeline or Shipper has been

unable to prevent or overcome, including without limitation acts of God,

the government, including the issuance of rules or orders which serve to

frustrate or prevent the performance of Kansas Pipeline, or a public enemy;

strikes, lockouts, or other industrial disturbances; wars, blockades, or civil

disturbances of any kind: epidemics, landslides, hurricanes, washouts,

tornadoes, storms, earthquakes, lightning, fires, freezing of, breakage or

accident to, or the necessity for making repairs or alterations to wells,

machinery or lines of pipe; partial or entire failure of wells; and the

inability of either Kansas Pipeline or Shipper to acquire, or the delays

on the part of either Kansas Pipeline or Shipper in acquiring, at

reasonable cost and after the exercise of reasonable diligence: (a) any

servitudes, rights of way grants, permits, or licenses; (b) any materials

or supplies for the construction or maintenance of facilities; or (c) any

permits or permissions from any governmental agency; if such are required

to enable either Kansas Pipeline or Shipper to fulfill its obligations

hereunder. Additionally, Kansas Pipeline shall be excused in whole, or in

part, from its performance for inability to obtain Transportation from or

through third party pipelines. Either Kansas Pipeline or Shipper

claiming force majeure shall give to the other(s) notice and full

particulars of such force majeure by telephone or facsimile as soon as

reasonably possible after the occurrence of the case relied on, and shall

remedy such inability to perform with all reasonable dispatch; provided,

however, that such requirement or remedy shall not require the settlement

of strikes or lockouts by accession to the demands of those opposing either

Kansas Pipeline or Shipper when such course is inadvisable in the discretion

of either Kansas Pipeline or Shipper.

 

In the event of a Force Majeure occurance, Kansas Pipeline will

credit shippers reservation charge with partial reservation charge

credits equal to Kansas Pipeline's return on equity and taxes

equal to the daily equivalent of the reservation charge muliplied

by the number of days of the Force Majeure event.