Common use of Meter Inaccuracy Clause in Contracts

Meter Inaccuracy. If, at any time, any meter is found to be out of service or registering inaccurately in any percentage, it shall be adjusted at once by Atlas America to read accurately within the limits prescribed by the meter's manufacturer. If such equipment is out of service or inaccurate by an amount exceeding three percent (3%) of a reading corresponding to the average flow rate for the period since the last test, the previous readings shall be corrected for the period that the meter is known to be inaccurate, or, if not known, a period of one-half (1/2) the elapsed time since the last test; provided, however, the Operating Fee and Gathering Fee previously paid will be adjusted retroactively between the parties based on any corrected volumes but the volumes allocated among shippers on the Gathering System shall be adjusted only prospectively. The volume of the Resource Entities' Gas delivered during such period shall be estimated by Atlas America either (a) by using the data recorded by any check measuring equipment if installed and accurately registered, (b) by correcting the error if the percentage of error is ascertainable by calibration, test, or mechanical calculation or, if neither such method is feasible, (c) by estimating the quantity delivered based upon deliveries under similar conditions during a period when the equipment registered accurately. No volume correction shall be made for metering inaccuracies of three percent (3%) or less.

Appears in 2 contracts

Sources: Contribution Agreement (Atlas Pipeline Partners Lp), Contribution Agreement (Resource America Inc)