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Enron Mail |
Ellen,
The enovate office in Chicago tells me that the addresses in the Contract are correct as written and that they have gotten with the people in Houston to get them to leave the addresses as contained in the contract. Regarding the Financially Firm language, I would suggest that you line through the word Financially in each case where it occurs in the contract, line through the entire definition of Financially Firm and have the person who signs for Reliant initial each of the line outs. I do not feel that we need to define the term Firm. Our view of the contract is that the obligations are always firm so no further clarification is needed. Do you concur? If so, forward the signed and initialled contracts together with the signed Transaction Agreements and I will have the enovate officer also initial the line outs and return a final fully executed contract to you. Ellen_R_Dailey@reliantenergy.com 01/23/2001 03:44 PM To: dan.j.hyvl@enron.com cc: Subject: Enovate, L.L.C. Master Firm Purchase/Sale Agreement Dan: Will Enovate cause us to become "undone" or what? Today, one of our Accountants asked me to change the address for Enovate to the Enron, Houston address. Just the day before, I had set contracts up in our gas management system and used the Notices/Correspondence/Invoices section from the Enovate contract to complete the areas of the contract that would feed the Accounting module as well as the Contracts module, this being the Chicago, Illinois information. So, I politely told the Accountant that the info in the gas management system was correct as entered. He (the Accountant) had spoken with an Accountant from ENA (Doug Nelson at 713/853-0560) and Doug told him that the invoices, etc. should go to Enovate c/o Enron at 1400 Smith, Room EB3718, Houston, TX 77002. Do you have any objection to changing this in the contract? Please advise, we'd like to do what would best streamline this process. Well Dan, hopefully, this will be ironed out one day soon and everything will run smoothly. Thanks again for your help. Regards, Ellen ---------------------- Forwarded by Ellen R Dailey/TTG/HouInd on 01/23/2001 03:35 PM --------------------------- Ellen R Dailey 01/22/2001 01:25 PM To: dan.j.hyvl@enron.com cc: Subject: Enovate, L.L.C. Master Firm Purchase/Sale Agreement Dan: I have a dilemma and I'm almost too embarrassed to ask you to help me resolve it. As a matter of policy in this department, we are to stress the fact that we "need" "financially firm" language in all contracts. When the Trader requested a contract with Enovate, he was not clear about his trading intentions and it was assumed that "financially firm" "needed" to be in the contract. It seems that this language is now holding up the execution process of the Enovate LLC contract. The Business Unit wants "financially firm" out and "firm" substituted. The definition for "firm" that they want in the contract is the standard definition for "firm" that is in the GISB as follows: "Firm" shall mean that either party may interrupt its performance without liability only to the extent that such performance is prevented for reasons of Force Majeure; provided, however, that during Force Majeure interruptions, the party invoking Force Majeure may be responsible for any imbalance charges as set forth in Section 7.2 related to its interruption after the nomination is made to the Transporter and until the change in deliveries and/or receipts is confirmed by the Transporter. I believe the only other place in the contract that "Financially Firm" appears is on the first page, Article 2. SCOPE OF AGREEMENT:, second line, would you please change that occurrence of "Financially Firm" to just "firm"? Dan, can you help me with this without trashing the whole contract? On the first page, we can line through "Financially" and initial, and then just the definition page on the first page of APPENDIX "1" would have to be redone to replace "Financially Firm" with just "Firm". Please let me know if this is able to be done. Thanks and I'm so sorry, Ellen Dailey 713/207-3266
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