escalator clause

noun
a provision in a contract calling for adjustments, usually increases, in charges, wages, or other payments, based on fluctuations in production costs, the cost of living, or other variables.
Also called, especially British, escalation clause.


Origin:
1925–30, Americanism

Dictionary.com Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2014.
Cite This Source Link To escalator clause
Collins
World English Dictionary
escalator clause
 
n
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

Collins English Dictionary - Complete & Unabridged 10th Edition
2009 © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009
Cite This Source
Example sentences
The current contract has an escalator clause due to the chemical costs.
The simpler the escalator clause, the easier this will be to accomplish.
She pointed out that the lease had an escalator clause in it.
He has an escalator clause in his contract that says he has to be the top paid
  coach in the conference.
Copyright © 2014 Dictionary.com, LLC. All rights reserved.
  • Please Login or Sign Up to use the Recent Searches feature
FAVORITES
RECENT

;