Common use of Transfer Failure Clause in Contracts

Transfer Failure. (a) A Transfer Failure occurs with respect to a Transfer Quantity if Transfer Completion for that Transfer Quantity is not reached within the time required under the CTA Procedures including by reason of the Transfer not passing Transfer Validation or the Transfer being cancelled due to systems failure, as provided for in the Capacity Transfer and Auction Timetable in the CTA Procedures. (b) If a Transfer Failure occurs with respect to a Gas Day: (i) the Delivering Participant must pay a Capacity Variance Amount in respect of the Capacity Variance Quantity as part of its Settlement Amount for the Billing Period that includes the Gas Day on which the failure occurred; and (ii) the liability of the Delivering Participant under this agreement for that failure is limited to the amount of the payment reflected in the Capacity Variance Amount. (c) If a Transfer Failure occurs with respect to a Gas Day: (i) the Receiving Participant must pay a Capacity Variance Amount in respect of the Capacity Variance Quantity as part of its Settlement Amount for the Billing Period that includes the Gas Day on which the failure occurred; and (ii) the liability of the Receiving Participant under this agreement for that failure is limited to the amount of the payment reflected in the Delivery Variance Amount. (d) The Operator will determine the cause and extent of Transfer Failures using information provided by Facility Operators under the CTA Procedures. (e) If a dispute arises as to the cause or extent of a Transfer Failure and is not resolved and the outcome notified to the Operator under clause 15.2 by the cutoff date prior to Final Statements for the relevant Billing Period, the Operator may settle on the basis of information provided to it by the Facility Operator under the CTA Procedures, subject to adjustment under clause 18 in a Revised Statement when the dispute is resolved or determined.