Evergreen

(redirected from Evergreen Clause)
Also found in: Dictionary, Thesaurus, Medical, Encyclopedia.

Evergreen

A contract that rolls over after each agreed (short-term) period until cancelled by one party.

Evergreen

Describing a long-term contract that is renewed automatically after a short-term period unless it is terminated. For example, an evergreen contract may last five years with an option to terminate at the end of one year. Unless one party or the other terminates the contract by the end of the first year, it is renewed for an additional five years after the end of the first five years.
References in periodicals archive ?
According to minutes of a June 16, 2008, executive session, selectmen voted to eliminate the evergreen clause, effective June 30, 2010, and to give Mr.
His professional background has included traditional transactions, IPOs, bankruptcies, funding mechanisms, multiyear structures, mergers/acquisitions and evergreen clauses.
Perseus customers take advantage of a fair pricing structure due to evergreen clauses that allow customers to benefit from latency enhancements without incurring additional cost.