Common use of Emergency Delivery Clause in Contracts

Emergency Delivery. In the event of demand spikes, regional or industry wide fuel shortages, Governor-proclaimed state of emergency, and catastrophes, Contractor shall exercise commercially reasonable efforts to make delivery of Fuel Products to Purchasers in a priority manner. (a) During times of Governor-proclaimed state of emergency and/or catastrophic events, Contractor shall keep delivery sources filled with employees on call 24 hours a day 7 days a week. (b) In the event of an emergency, Contractor shall use commercially reasonable efforts to: i. Ensure that Purchasers are supplied with adequate amounts of fuel in preparation for emergency events; ii. Ensure deliveries to Purchasers are Contractor’s first priority to the extent commercially reasonable; iii. Establish priorities for deliveries to Purchasers based on direct communications with Purchasers or interactions with the Washington State Department of Emergency Management (and Enterprise Services), as may be required; iv. Leverage its supply chain, including backup supplies, to insure continuous supply to all Purchasers during an Event; and v. Provide Fuel Products whenever it is safe to do so. Roads will be determined to be unsafe if they are declared as closed by the state or federal government or upon the reasonable business judgment of Contractor. vi. This reasonable business judgment shall be similar to the judgment exercised by Contractor over the previous twenty-four (24) months. (c) Purchaser will be responsible for identifying the threat level for emergency deliver timeline. Washington Department of Emergency Management also may identify the threat level, which shall supersede the Purchaser’s identified threat level. During times of Governor proclaimed state of emergency and/or catastrophic events Contractor shall make deliveries as follows: i. Immediate threat to persons or property: Within four (4) hours. Immediate threat means that persons or property are currently subject to harm. For example, a person is in need of immediate medical attention and/or property is currently damaged due to an Event. ii. Imminent threat to persons or property: Within ten (10) hours. Imminent threat means that persons or property will be subject to harm within the near future (i.e. within the next 10 hours) due to an Event. For example, if a Purchaser does not have fuel within the near future, persons will need medical attention after that time or property will be subject to damage after that time. iii. Impending threat to persons or property: Within eighteen (18) hours. Impending threat means that persons or property will be subject to harm within the foreseeable future due to an Event. For example, a Tsunami is forecast, within a reasonable amount of accuracy, to impact Washington or the roads will not be able to be cleared, therefore making them hazardous to travel, if fuel is not delivered. (d) Deliveries may be reduced, increased, or delayed, depending on the emergency event and the immediate need of the Purchasers in order to ensure that no Purchasers run out of fuel. If a delivery is made short, Contractor shall contact the affected Purchasers prior to delivery to inform them of the short. If the Purchasers provides a reasonable business justification for refusing the short (for example, their usage rate demonstrates the location risks running out of fuel due to the short delivery) then Contractor shall deliver the fuel in the quantity ordered. (e) During times of demand spikes, regional or industry wide fuel shortages, urgent need, Governor-proclaimed state of emergency, catastrophes, and in the event of fuel supply shortages at the terminal established as the primary point of supply for any particular Purchasers, Contractor shall notify the affected Purchasers of the shortage and the expected date of return to normal operations. (f) In the event of an emergency, Contractor, for the duration of the emergency, may charge its standard emergency fee (which is charged to all other purchasers). Such fee shall be included on the invoice as a separate line item in addition to the standard delivery fee. If no standard emergency fee exists, then a reasonable emergency premium is to be added to the invoice (as a separate line item) in addition to normal contract service fees; Provided, however, that any such emergency fee must be invoiced to all of Contractor’s customers.

Emergency Delivery. In the event of demand spikes, regional or industry wide fuel shortages, Governor-proclaimed state of emergency, and catastrophes, Contractor shall exercise commercially reasonable efforts to make delivery of Fuel Products to Purchasers in a priority manner. (a) During times of Governor-proclaimed state of emergency and/or catastrophic events, Contractor shall keep delivery sources filled with employees on call 24 hours a day 7 days a week. (b) In the event of an emergency, Contractor shall use commercially reasonable efforts to: i. Ensure that Purchasers are supplied with adequate amounts of fuel in preparation for emergency events; ii. Ensure deliveries to Purchasers are Contractor’s first priority to the extent commercially reasonable; iii. Establish priorities for deliveries to Purchasers based on direct communications with Purchasers or interactions with the Washington State Department of Emergency Management (and Enterprise Services), as may be required; iv. Leverage its supply chain, including backup supplies, to insure continuous supply to all Purchasers during an Event; and v. Provide Fuel Products whenever it is safe to do so. Roads will be determined to be unsafe if they are declared as closed by the state or federal government or upon the reasonable business judgment of Contractor. vi. This reasonable business judgment shall be similar to the judgment exercised by Contractor over the previous twenty-four (24) months. (c) Purchaser will be responsible for identifying the threat level for emergency deliver timeline. Washington Department of Emergency Management also may identify the threat level, which shall supersede the Purchaser’s identified threat level. During times of Governor proclaimed state of emergency and/or catastrophic events Contractor shall make deliveries as follows: i. Immediate threat to persons or property: Within four (4) hours. Immediate threat means that persons or property are currently subject to harm. For example, a person is in need of immediate medical attention and/or property is currently damaged due to an Event. ii. Imminent threat to persons or property: Within ten (10) hours. Imminent threat means that persons or property will be subject to harm within the near future (i.e. within the next 10 hours) due to an Event. For example, if a Purchaser does not have fuel within the near future, persons will need medical attention after that time or property will be subject to damage after that time. iii. Impending threat to persons or property: Within eighteen (18) hours. Impending threat means that persons or property will be subject to harm within the foreseeable future due to an Event. For example, a Tsunami is forecast, within a reasonable amount of accuracy, to impact Washington or the roads will not be able to be cleared, therefore making them hazardous to travel, if fuel is not delivered. (d) Deliveries may be reduced, increased, or delayed, depending on the emergency event and the immediate need of the Purchasers in order to ensure that no Purchasers run out of fuel. If a delivery is made short, Contractor shall contact the affected Purchasers prior to delivery to inform them of the short. If the Purchasers provides a reasonable business justification for refusing the short (for exampleforexample, their usage rate demonstrates the location risks running out of fuel due to dueto the short delivery) then Contractor shall deliver the fuel in the quantity orderedquantityordered. (e) During times of demand spikes, regional or industry wide fuel shortages, urgent need, Governor-proclaimed state of emergency, catastrophes, and in the event of fuel supply shortages at the terminal established as the primary point of supply for any particular Purchasers, Contractor shall notify the affected Purchasers of the shortage and the expected date of return to normal operations. (f) In the event of an emergency, Contractor, for the duration of the emergency, may charge its standard emergency fee (which is charged to all other purchasers). Such fee shall be included on the invoice as a separate line item in addition to the standard delivery fee. If no standard emergency fee exists, then a reasonable emergency premium is to be added to the invoice (as a separate line item) in addition to normal contract service fees; Provided, however, that any such emergency fee must be invoiced to all of Contractor’s customers.