Common use of Customer Assignment to Third Party Clause in Contracts

Customer Assignment to Third Party. Customer shall not assign all of its obligations hereunder or under a Pipeline Service Order without Operator’s prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed; provided, however, that Customer may assign this Agreement, without Operator’s consent, in connection with a sale by Customer or its affiliates of the Pipelines so long as the transferee: (i) agrees to assume all of Customer’s obligations under this Agreement with respect to the Pipelines; and (ii) is financially and operationally capable of fulfilling the terms of this Agreement, which determination shall be made by Customer in its reasonable judgment.

Appears in 2 contracts

Sources: Pipeline Throughput Agreement (Tesoro Corp /New/), Pipeline Throughput Agreement (Tesoro Logistics Lp)