Escalator clause
Escalator clauses monetary
The escalator clauses written in the contracts of purchase or international sale aim at laying down by contract the methods of division of the exchange rate risk of transaction between the purchaser and the salesman, on the assumption that a variation of the rate of exchange of the currency chosen by the parts would intervene.
Fruits of negotiations, there do not exist escalator clauses which one could describe as
.De not-exhaustive manner, here certain examples of methods according to which this one can be formulated.
- clause of adaptation of the prices proportional to the fluctuation of the rates of exchange
- closed indexation
- escalator clause on a currency or a basket of currencies
- clause of shared risk
- clauses multidevises
- clause of option of currencies