Statute 55-1405: Same; limited effect of indefinite escalator clauses; price
calculated monthly; exceptions.
Notwithstanding the restriction on the operation of indefinite price escalator
clauses imposed by
K.S.A. 55-1404, after March 1, 1979, such indefinite
price escalator clauses in gas purchase contracts
subject to this act may be given effect in accordance with their terms to
the extent that the price payable under such contracts is not increased
above the maximum price such gas would receive if it qualified under section
109(b) of the natural gas policy act of 1978. The maximum price shall be
calculated on a monthly basis. Nothing in this section shall be construed
to apply to gas produced from new wells, new reservoirs or stripper wells
as defined by this act.
History: L. 1979, ch. 171, § 5; May 29.