Legal Dictionary
Main Entry:
es·ca·la·tor clausePronunciation:
'es-k&-"lA-t&r-Function:
noun 1 : a clause in a contract that provides for an increase in the amount of the payments made under the contract to reflect an increase in costs or the raising of a government-imposed cap on costs
2 : a clause in an employment contract that provides for an increase in wages to reflect a rise in the cost of living but prohibits a decrease to reflect a drop in the cost of living
