Escape Clause

Definition of Escape Clause

Provision in a contract or other document permitting party or parties to avoid liability or performance under certain conditions. For example, international tariff containing clause that tariff will be changed if imports covered by such cause harm to domestic industries producing like goods. An “escape clause” is one that provides for avoidance of liability when there is other valid insurance. Chamberlin v. Smith, 72 C.A.3d 835, 140 Cal.Rptr. 493, 500.

That's the definition of Escape Clause in Black's Law Dictionary 6th Edition. Courtesy of Cekhukum.com.

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