Westmore Fuel Co., Inc. Heating Oil Price Protection Contract. 

"Customer" refers to the signatory of this contract throughout.

1. Automatic Delivery. Customer agrees that Westmore Fuel Co., Inc. is the sole supplier of heating oil and agrees to accept deliveries by automatic delivery from Westmore Fuel Co., Inc.  Customer agrees to provide Westmore Fuel Co., Inc. safe access to your oil tank and heating system at all times.  Requests for tank top-offs are not permitted under this program.

2. Acceptance. Customer agrees that gallons contracted under this agreement start upon receipt of the signed contract.  Electronic signatures are accepted as written signatures.  The program fee payment must be RECEIVED within 5 DAYS of the AUTHORIZATION DATE above.  If mailed, both the Customer and Westmore Fuel Co., Inc. must sign the contract and the signed contract is RECEIVED in our OFFICE within 5 DAYS of the AUTHORIZATION DATE above.

3. Program deliveries. Program deliveries will commence on the Delivery Start Date noted above.  All sales are final and are not subject to change or alteration. This program will expire when all your contracted gallons are delivered or on August 31, 2010, whichever comes first. Customer can, after all contracted gallons are delivered, enter into a new gallon contract at the then prevailing rates.  Otherwise, fuel deliveries made beyond your contracted gallons or after August 31, 2010 will be based on Westmore’s Daily Delivery Price.

4. Credit Terms. Receipt of program fee noted above, submittal of this signed document, or e-mail approval reply constitutes acceptance of this contract.  All charges or outstanding balances must be paid in full before the customer can participate in any program.  Accounts with past due balances are subject to program cancellation. You will pay Westmore Fuel Co., Inc. the cash sale price plus any applicable taxes, for all goods and services charged to your account (plus Finance Charges, if any) in full, within 30 days from date of invoice or as required by your monthly budget plan.  Your original Retail Credit Agreement for payment terms is still in effect under this contract.

5. Program Definitions. FIXED PRICE: A fixed price per gallon does not change for the duration of this contract, until all your contracted gallons are delivered, or on August 31, 2010, whichever comes first.  CAPPED PRICE:  A cap price will not exceed the cap price per gallon for the duration of this contract, but can go down if market conditions decline.

6. Early Termination/Liquidation of Contract. Westmore Fuel Co., Inc., pursuant to Connecticut law, has sustained the cost of securing wholesale heating oil in order to make this offer to the Customer. If the Customer breaches this contract prior to delivery of all contracted gallons or prior to August 31, 2010, the Customer agrees to liquidate Westmore Fuel Co., Inc.'s damages for the cost of acquiring the heating oil for the Customer and for Westmore Fuel Co., Inc.'s associated expenses. Liquidated damages are calculated as Customers contracted gallons, less any gallons delivered pursuant to this agreement, times the Liquidation value + $100.00 administrative fee.

7. Liquidation Value. The Liquidation Value is defined as the difference between agreed PRICE and the New York Mercantile Exchange (NYMEX) nearby month closing price for # 2 heating oil on day of liquidation.

8. Refunds. Program fees are not refundable should customers not receive all their contracted gallons prior to August 31, 2010.  Customer may be subject to an adjustment charge for unused contracted gallons on after August 31, 2010 expiration date.

9. Heating System Service. Heating System Service is by separate agreement and is invoiced separately from this contract.

10. Purchase of Futures Contracts. Westmore Fuel Co., Inc., in accordance with Connecticut State Law, has purchased the required minimum futures contracts through the New York Mercantile Exchange (NYMEX) to enable it to make this contract.

11. Force Majeure. Westmore Fuel Co., Inc. is not responsible for events beyond its control or for Acts of God that prohibit Westmore Fuel Co., Inc. from fulfilling this contract. Events beyond Westmore Fuel Co., Inc.' control may include Acts of God, interruption of wholesale supply to Westmore Fuel Co., Inc., failure of common carriers, terrorism, civil commotion, war, riots, labor unrest, failure of public utilities and under any such circumstances, Westmore Fuel Co., Inc. may cancel this contract.

12. Deliveries after Program Ends. After this contract terminates as cited in item #3 the Customer agrees to remain on automatic delivery at a price of the prevailing rate per gallon at the time of delivery of heating oil as supplied by Westmore Fuel Co., Inc. until such time as the Customer either signs a new heating oil contract or provides Westmore Fuel Co., Inc. with a written request to terminate deliveries. Written request may be by postal letter or email.

13. Governance. This Agreement shall be governed by and construed in accordance with the laws of the State of Connecticut.

14. Waiver of Subrogation.

Westmore Fuel Co., Inc. and the Customer each hereby waive any and all rights of recovery against each other, including our officers, members, agents and employees, occurring on or arising out of this Agreement, the delivery of heating oil and any system maintenance or repair at your premises to the extent such loss or damage is covered by proceeds received from casualty, homeowners or other insurance carried by the other party. The party sustaining such loss shall have no right of recovery against the other party, or the agents, servants, or employees of the other party; and no third party shall have any right of recovery by way of subrogation or assignment or otherwise. Westmore Fuel Co., Inc. and the Customer shall each indemnify the other party against any loss or expense, including reasonable attorneys' fees, resulting from the failure to obtain such waiver. This mutual waiver shall be in addition to, and not in limitation or derogation of, any other waiver or release contained in this Agreement with respect to any loss of, or damage to, property of the parties hereto.

15. Entire Agreement. The terms of this Program is the entire agreement between the Customer and Westmore Fuel Co., Inc. for Price Protection Deliveries. There shall be no changes, verbal or written, accepted to the terms and conditions set forth herein.

Terms last updated 05/01/2009