Common use of Service to New Areas Clause in Contracts

Service to New Areas. If during the term of this franchise the boundaries of the Grantor are expanded, the Grantor will promptly notify Grantee in writing of any geographic areas annexed by the Grantor during the term hereof (“Annexation Notice”). Any such Annexation Notice shall be sent to Grantee by certified mail, return receipt requested, and shall contain the effective date of the annexation, maps showing the annexed area and such other information as Grantee may reasonably require in ascertaining whether there exist any customers of Grantee receiving natural gas service in said annexed area. To the extent there are such customers therein, then the revenue of Grantee derived from the retail sale of natural gas to such customers shall become subject to the franchise fee provisions hereof effective on the first day of Grantee’s billing cycle immediately following Franchisee’s receipt of the Annexation Notice. The failure by the Grantor to advise Grantee in writing through proper Annexation Notice of any geographic areas which are annexed by the Grantor shall relieve Grantee from any obligation to remit any franchise fees to Grantor based upon revenues derived by Grantee from the retail sale of natural gas to customers within the annexed area prior to Grantor delivering an Annexation Notice to Grantee in accordance with the terms hereof.

Appears in 2 contracts

Samples: Franchise Agreement, www.thompsons-station.com

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Service to New Areas. If during the term of this franchise Franchise the boundaries of the Grantor City are expanded, the Grantor City will promptly notify Grantee Franchisee in writing of any geographic areas annexed by the Grantor City during the term hereof (“Annexation Notice”). Any such Annexation Notice shall be sent to Grantee by certified mail, return receipt requestedFranchisee, and shall contain the effective date of the annexation, maps showing the annexed area and such other information as Grantee Franchisee may reasonably require in ascertaining whether there exist any customers of Grantee Franchisee receiving natural gas service in said annexed area. To the extent there are such customers therein, then the revenue of Grantee Franchisee derived from the retail sale of natural gas to such customers shall become subject to the franchise fee provisions hereof effective on the first day of GranteeFranchisee’s billing cycle immediately following Franchisee’s receipt of the Annexation Notice. The failure by the Grantor City to advise Grantee Franchisee in writing through proper Annexation Notice of any geographic areas which are annexed by the Grantor City shall relieve Grantee the Franchisee from any obligation to remit any franchise fees to Grantor City based upon revenues derived by Grantee Franchisee from an obligation to remit any franchise fees to City based upon revenues derived by Franchisee from the retail sale of natural gas to customers within the annexed area prior to Grantor City delivering an Annexation Notice to Grantee Franchisee in accordance with the terms hereof.

Appears in 1 contract

Samples: Gas Franchise Agreement

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Service to New Areas. If during the term of this franchise the boundaries of the Grantor Municipality are expanded, the Grantor Municipality will promptly notify Grantee Atmos in writing of any geographic areas annexed by the Grantor Municipality during the term hereof (“Annexation Notice”). Any such Annexation Notice shall be sent to Grantee Atmos by certified mail, return receipt requested, and shall contain the effective date of the annexation, maps showing the annexed area and such other information as Grantee Atmos may reasonably require in ascertaining whether there exist any customers of Grantee Atmos receiving natural gas service in said annexed area. To the extent there are such Atmos customers therein, then the revenue gross revenues of Grantee Atmos derived from the retail sale and distribution of natural gas to such customers shall become subject to the franchise fee provisions hereof effective on the first day of Grantee’s Atmos’ billing cycle immediately following Franchisee’s Atmos’ receipt of the Annexation Notice. The failure by the Grantor Municipality to advise Grantee Atmos in writing through proper Annexation Notice of any geographic areas which are annexed by the Grantor Municipality shall relieve Grantee Atmos from any obligation to remit any franchise fees to Grantor Municipality based upon gross revenues derived by Grantee Atmos from the retail sale and distribution of natural gas to customers within the annexed area prior to Grantor delivering until Municipality delivers an Annexation Notice to Grantee Atmos in accordance with the terms hereof.

Appears in 1 contract

Samples: Franchise Agreement

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