acceleration clause

noun

acceleration clause

noun
1

Law a provision in a contract that makes all obligations to be performed under the contract due immediately upon a specific occurrence, such as a breach

  • Joe was mortified to learn that his failure to make a scheduled car payment triggered an acceleration clause requiring that the entire balance due on the car be paid immediately.

Entry derived from the Wiktionary, under licence CC BY-SA 4.0 — list of authors.