Common use of Derogations Clause in Contracts

Derogations. By way of derogation to the rule provided for in paragraph 3.2.1 of this Appendix, the Shipper does not have to provide the Negative Stock and Offsetting Guarantee when, and for as long as, the Shipper benefits from a long- term credit rating that is equal to or higher than A- (Standard & Poors) and A3 (▇▇▇▇▇’▇). By way of derogation to the rule provided for in paragraph 3.2.1 of this Appendix, the Shipper that cannot benefit from the derogation provided for in the paragraph above but that is part of a group for which the Parent Company is a company that has its registered office in a European Union country and that benefits from a long-term credit rating that is equal to or higher than A- (Standard & Poors) and A3 (▇▇▇▇▇’▇) can, for as long as the condition concerning the level of its rating is met, provide, as a Negative Stock and Offsetting Guarantee, a guarantee commitment issued by the Parent Company covering the obligations of the Shipper to the amount of the Negative Stock and Offsetting Guarantee referred to in paragraph 3.2 of this Appendix. Where any one of the conditions to which the above derogations are subject are not met, the provisions provided for in paragraph 3.2.1 shall once again apply and the Shipper must comply with these provisions within one (1) month from the event in question.