escalator clause

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escalator clause

n.
A provision in an agreement or regulation giving a party or beneficiary the benefit of an increase in payment, or an excuse from payment of an additional amount, where some specified change in financial conditions occurs, such as an increase in cost of living.

escalator clause

n
(Industrial Relations & HR Terms) a clause in a contract stipulating an adjustment in wages, prices, etc, in the event of specified changes in conditions, such as a large rise in the cost of living or price of raw materials

es′calator clause`


n.
a provision in a contract calling for adjustments, usu. increases, in charges, wages, or other payments, based on fluctuations in production costs, the cost of living, or other variables.
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.escalator clause - a clause in a contract that provides for an increase or a decrease in wages or prices or benefits etc. depending on certain conditions (as a change in the cost of living index)
clause, article - a separate section of a legal document (as a statute or contract or will)
Translations

escalator clause

nGleitklausel f

escalator clause

nclausola di indicizzazione or di revisione
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References in periodicals archive ?
4COP Dual Quota (included) and 50-year lease with 2% escalation clause make this Cash Cow business an amazing opportunity.
Any contract awarded with an escalation clause shall be subject to de-escalation in the event of cost reduction with the same 30-day written notice.
90/MMbtu with a 2% escalation clause over the 15 year contract period, which is a past through to the off-takers.
Look for cost escalation clause which means buyers have to bear the cost in case the price of the raw material goes up by 15 per cent.
They said there is an option of escalation clause in which the builders can seek rise in cost of production from the Building Control Authority.
Superintendent of Roads Dennis Bartlett said he originally did not have an escalation clause in the bids he sought for hot top, but at the advice of the state, added one to allow to account for the possibility of rising oil prices.
To cover yourself, you'll want to insert an effective escalation clause in your contracts.
Soon after, I became well acquainted with the concept of the escalation clause, the inspections waiver, the failed bid, and generally competing like gladiators for any property deemed livable and available.
Outside of the base rental rate itself, the stickiest part of a lease is the escalation clause.
But, an escalation clause which grants the lender an unbridled right to adjust the interest independently and upwardly, completely depriving the borrower of the right to assent to an important modification in the agreement, is void.
During the bankruptcy case, Pangaea and the customer have decided to, among other things: a lower, fixed cargo freight rate for the balance of the calendar year 2016; a freight escalation clause depending upon changes in the worldwide price of aluminum for years after 2016; adjustment of the freight rate under a fuel escalation clause; and settlement of pre-petition receivables outstanding from the customer for voyages prior to the Chapter 11 filing.
The ratings incorporate the company's solid financial position, negative cash conversion cycle, modest size of operations, geographical concentration and absence of escalation clause in most of its contracts, which exposes its profit margins to volatility in raw material prices, Fitch explained.