OSTERMAN PROPANE RESIDENTIAL CUSTOMER
APPLICATION SERVICE AND SUPPLY AGREEMENT
 

Further terms and conditions governing the supply of propane, equipment and service to Customer are contained below (reverse side of document version) and are an integral part of this service and supply agreement. A completed version of this application/2 page document will be considered legal and binding via electronic signature.

I/We agree to pay any balance owed to Osterman Propane within thirty (30) days of the invoice date. I/We shall pay finance charges that accrue on the unpaid balance outstanding for more than 30 days after invoice date at the rate of 1½% per month (18% A.P.R.). I/We understand that legal action may be taken if I/we fail to fulfill my/our obligation under this contract and I/we will be responsible for all collection costs including, interest, filing fees, and attorney fees of not less than $195.00 plus any additional amounts assessed by the court. Customer acknowledges receipt of a copy of this “Residential Customer Application and Service and Supply Agreement.”

Rhode Island Terms and Conditions

  1. Acceptance: Upon acceptance by Osterman of this application, applicant (and co-applicant) shall become the "Customer".
  2. Property: Osterman will provide Customer with appropriate propane storage tank (“tank”) or cylinder and related equipment (in Osterman’s opinion), which will, at all times, remain the property of Osterman and will not become a fixture or part of Customer’s real estate. A UCC-1 may be filed with the appropriate state where tank is located.
  3. Minimum Usage Charge: A minimum usage charge (“MUC”) shall be incurred by Customer if Customer’s annual propane purchases are less than one (1) times the water capacity of the tank supplied to Customer. The time frame for the annual propane purchases for any season shall be measured from 10/1/XX until 9/30/XX.
    Current MUC Charges
    Tank Size MUC
    <120 Gal. $60.00
    120 Gal. $85.00
    240-330 Gal. $160.00
    500 Gal. $185.00
    1000+ Gal. $285.00
    Description Fee
    Special delivery charge $99/175
    (per delivery/incurred for unscheduled or off-route deliveries)
    Tank removal Charge $140
    Return Check Charge $35
    (per check)
    Tank pump-out/restocking charge $149
    (on-site or at an Osterman facility)
    Meter Deposit $300
    (Held and will be returned upon termination after all charges paid)
    Trip Charge $60
    (Incurred each time a service technician is dispatched)
    Meter System Fee $9.99
    (per statement/metered service customers only)
    HAZMAT & Regulatory Compliance Fee $11.62
    (per delivery)
  4. Termination: Customer may terminate this agreement by giving Osterman thirty (30) day prior written notice. Osterman may terminate this agreement at any time if Customer violates any of the terms and conditions of this agreement. Prior to termination of this agreement, Customer shall use all propane in tank or cylinder. Any propane remaining in the tank or cylinder upon removal shall become the property of Osterman and within thirty (30) days after the removal of the tank or cylinder the value thereof at the retail per gallon price paid will be first credited to the outstanding Customer balance and if there is no balance then reimbursed to the Customer. Customer shall remain liable for all fees and charges incurred by Customer prior to the termination of this agreement. Upon termination, Osterman may charge the Customer the tank removal charge and an excavation charge (if applicable).
  5. Exclusive Delivery: Customer agrees that only propane sold by Osterman will be delivered to the tank or cylinder provided by Osterman.
  6. Delivery Price: Customer shall pay Osterman’s rates, fees or charges in effect on the date that propane is delivered to Customer. Osterman reserves the right to change its rates or charges if need be without prior notice. The price of propane varies based on market influences, Osterman’s costs, volume of use, and other factors. Within five (5) business days of customer’s request, Osterman shall provide a written explanation of fees and will disclose the actual or best estimate of the fee to be charged in connection with the next delivery.
  7. Service Charges: Service charges shall be commercially reasonable and based upon Osterman’s then current labor, transportation, restocking and operational costs.
  8. Default: Customer agrees to pay all invoices received from Osterman within 30 days of the date of any such invoice. Customer will be considered in default if balances are unpaid after 30 days. Customer shall pay finance charges on the 30 day unpaid balance as provided on the reverse side hereof.
  9. Equipment Operation and Access: Osterman shall maintain the equipment in good operating condition at all times. Customer hereby agrees that Osterman shall have right of entry at all times upon customer’s premises at any or all reasonable hours of the day for the purpose of removal, inspection, and repair or to maintain the equipment. Access will be granted to Osterman without question or hindrance by Customer or Customer’s agents. Customer will always be responsible for maintaining access to said equipment.
  10. Limitations on Damages: Osterman shall not be liable for any loss sustained by Customer as a result of the exhaustion of Customer’s supply of propane, nor for any injuries to persons, damage to property or loss due to the negligence by Customer, its employees, or assigns. Osterman shall not be liable for incidental or consequential damages.

Osterman does not share any Customer's personal information with any other entity except its affiliates. Osterman Propane takes data and personal information security seriously and we make our best efforts to ensure the security of your personal information. In addition, Osterman Propane is compliant with both the PCI Security Standards Council and the State of Massachusetts "WISP" requirements.