Common use of RELATIONSHIP BETWEEN REPLACEMENT SHIPPER AND RELEASING SHIPPER Clause in Contracts

RELATIONSHIP BETWEEN REPLACEMENT SHIPPER AND RELEASING SHIPPER. The parties recognize that, pursuant to Commission orders, Releasing Shipper may require that the Replacement Shipper agree that a breach of this Agreement, including a failure to pay, or to pay timely, by Replacement Shipper under this Agreement, constitutes a breach of contract as between Replacement Shipper and Releasing Shipper. The existence of such an agreement will be indicated on the appropriate Addendum to this Capacity Release Umbrella Agreement. If Replacement Shipper fails to pay Transporter, fails to timely pay Transporter, or otherwise breaches this Agreement with Transporter: (a) both Replacement Shipper and Releasing Shipper (except to the extent otherwise provided in Section 25.2(a) of the GT&C and except with respect to penalties attributable to Replacement Shipper's conduct) shall be liable to Transporter for such failure to pay or breach (it being understood that nothing in this Article VI relieves Releasing Shipper from responsibility to pay Transporter in accordance with its Agreements with Transporter) and (b) if, as a result of such breach by Replacement Shipper, Releasing Shipper is accordingly required to pay Transporter or otherwise perform, Releasing Shipper may have a cause of action for breach against Replacement Shipper.

RELATIONSHIP BETWEEN REPLACEMENT SHIPPER AND RELEASING SHIPPER. The parties recognize that, pursuant to Commission orders, Releasing Shipper may require that the Replacement Shipper agree that a breach of this Umbrella Service Agreement, including a failure to pay, or to pay timely, by Replacement Shipper under this Umbrella Service Agreement, constitutes a breach of contract as between Replacement Shipper and Releasing Shipper. The existence of such an agreement will be indicated on the appropriate Addendum to this Capacity Release Umbrella Service Agreement. If Replacement Shipper fails to pay Transporter, fails to timely pay Transporter, or otherwise breaches this Agreement with Transporter: (a) both Replacement Shipper and Releasing Shipper (except to the extent otherwise provided in Section 25.2(a) 22.5 of the GT&C General Terms and Conditions and except with respect to penalties attributable to Replacement Shipper's conduct) shall be liable to Transporter for such failure to pay or breach (it being understood that nothing in this Article VI VII relieves Releasing Shipper from responsibility to pay Transporter in accordance with its Agreements service agreements with Transporter) and (b) if, as a result of such breach by Replacement Shipper, Releasing Shipper is accordingly required to pay Transporter or otherwise perform, Releasing Shipper may have a cause of action for breach against Replacement Shipper.