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de-escalation clause Finance Definition

A section of a contract that requires prices to be lowered in the event that certain conditions are met. For example, if the price of raw materials that are used to fulfill the contract decreases, then the cost to the customer also decreases. This is in contrast to an escalation clause, in which prices can be raised in the event certain conditions are met.

Browse dictionary entries near de-escalation clause

  1. ‹ de-escalate
  2. ‹ de-emphasize
  3. ‹ de Bergerac
  4. ‹ de-accession
  5. ‹ de
  6. ‹ DDT
  7. ‹ DDS
  8. ‹ DDN
  9. ‹ DDE
  10. ‹ DDD
  1. de facto ›
  2. de fide ›
  3. De Forest ›
  4. de Gaulle ›
  5. de gustibus non disputandum (est) ›
  6. de haut en bas ›
  7. de-ice ›
  8. de jure ›
  9. De Kalb ›
  10. de Kooning ›