Stingray Pipeline Company
Third Revised Volume No. 1
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Effective Date: 10/01/2000, Docket: RP00-550-000, Status: Effective
Second Revised Sheet No. 175 Second Revised Sheet No. 175 : Effective
Superseding: Substitute First Revised Sheet No. 175
GENERAL TERMS AND CONDITIONS
16.17 OBLIGATIONS OF RELEASING SHIPPER
(a) Subject to Section 16.17(c), the Releasing Shipper shall
continue to be liable and responsible for all reservation
charges associated with the released capacity up to the
reservation charge specified in such Releasing Shipper's
Agreement with Stingray. The Releasing Shipper agrees that the
award of capacity to a Replacement Shipper or Subreplacement
Shipper shall automatically reduce the Releasing Shipper's firm
capacity rights under the Agreement with Stingray effective on
the effective date of the release for the period of the release,
except for any period that the firm capacity is recalled by the
Releasing Shipper (if the successful bid so permits) until such
capacity is reput to the Replacement or Subreplacement Shipper,
in accordance with this Section 16.
(b) A release by a Replacement Shipper shall not relieve the
Original Shipper or the Replacement Shipper of their obligations
under this Section 16.
(c) In the event that a Released Firm Transportation Agreement
covers the remaining term of the Eligible Firm Transportation
Agreement at maximum rates, or higher if applicable pursuant to
Section 16.7(c) hereof, then the Original Shipper may request in
writing that the Original Shippers' rights and obligations under
the Eligible Firm Transportation Agreement shall be
prospectively assigned to, and be assumed by, the Replacement
Shipper. Following such request, Stingray shall send the
Original Shipper and Replacement Shipper an assignment agreement
to so provide. In the event that the Original Shipper and the
Replacement Shipper execute such assignment agreement, subject
to the approval of Stingray's lenders if Stingray's loan
agreement so requires, the Original Shipper shall be released
from all liability under the Eligible Firm Transportation
Agreement arising after such execution date.