East Tennessee Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 08/14/1994, Docket: RP94-271-001, Status: Effective

First Revised Sheet No. 161 First Revised Sheet No. 161 : Superseded

Superseding: Original Sheet No. 161




report with the FERC detailing the final balance in Account No. 191, with

adjustments. At the end of the amortization period, Transporter shall

file a report with the FERC showing the actual amount billed (or refunded)

to each customer. To the extent Transport is billed for additional gas

costs by Tennessee, Transporter shall allocate such costs in accordance

with subsection (b) hereof and bill affected shippers within 60 days of

the date Tennessee files its final report.




24.1 Relief from liability: Neither Transporter nor Shipper shall be liable in

damages to the other for any act, omission or circumstances occasioned by or in

consequence of any acts of God, strikes, lockouts or other industrial

disturbances, acts of the public enemy, wars, blockades, military action,

insurrections, riots, epidemics, landslides, lightning, earthquakes, fires,

storms or storm warnings, crevasses, floods, washouts, arrests and restraints

of rulers and peoples, explosions, breakage or accident to machinery or lines

of pipe, the necessity for testing, rehabilitating or making repairs or

alterations to machinery or lines of pipe, freezing of wells or lines of pipe,

inability of either Shipper or Transporter to obtain necessary materials,

supplies, equipment or permits, labor required to comply with any obligations

or conditions of an agreement, inability to obtain access to rights-of-way, the

binding order of any court or governmental authority that has been resisted in

good faith by all reasonable legal means, and any other cause, whether of the

kind herein enumerated, or otherwise, and whether caused or occasioned by or

happening on account of the act or omission of one of the parties to the gas

service contract between Transporter and Shipper or some person or concern not

a party thereto, not within the control of the party claiming suspension, and

which by the exercise of due diligence such party is unable to prevent or

overcome. In addition, a Balancing Party shall be exempted from liability for

any Daily Variance Charge incurred as a result of freezing or failure of third

party lines of pipe or facilities, or as a result of an unexpected breakdown of

the Balancing Party's facilities. Transporter and Shipper shall schedule

routine maintenance in a manner that minimizes service interruptions and shall

not schedule routine maintenance during periods of peak demand. Any routine

maintenance that is scheduled during a period of peak demand shall not be

considered an event of force majeure hereunder. A failure to settle or prevent

any strike or other controversy with employees or with anyone purporting or

seeking to represent employees shall not be considered to be a matter within the

control of the party claiming suspension.


24.2 Liabilities not relieved: Such causes or contingencies affecting the

performance of said gas service agreement by either party, however, shall not

relieve it of liability in the event of its contributory negligence or in the

event of its failure to use due diligence to remedy the situation and remove the

cause in an adequate manner and with all reasonable dispatch, nor shall such

causes or contingencies relieve either party of its obligations to meet the