sunset clause

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Sunset Clause

A clause in a law or regulation automatically abolishing that law or regulation after a stated period of time. In order for the law or regulation to continue to have effect, specific action must be taken. A law or regulation without a sunset clause continues indefinitely. The U.S. state of Texas has sunset clauses abolishing nearly every state agency every 12 years unless they are specifically renewed.

sunset clause

A provision in a sales contract that sets a date for closing and after which the contract will be unenforceable except for provisions related to damages or earnest money refund or retention.

References in periodicals archive ?
For decedents who die on or after January 1, 2012, a lawyer should be aware of the sunset provisions contained in the 2001 and 2010 tax acts and plan to advise the personal representative of the potential consequences of the federal law on the Florida state tax.
Even though sunset provisions do not clearly favor the status quo in the way that many other procedural requirements do, they limit long-term accumulation of policy changes even when these changes are desirable in terms of electorally induced preferences of democratic leaders.
Since the gift tax is not repealed by Tax Act 2001, except for the sunset provisions, this exclusion remains in effect even after the repeal of the estate and GST taxes.
This is not to say that efforts cannot proceed to reduce compliance and computational burdens through the development of safe harbors and sunset provisions, de minimis rules, and other regulations that alleviate the volume of paperwork and technical computations.
In contrast to other 2012 prime issuance which had life of loan reps and warranties, this transaction introduces 36-month sunset provisions for reps and warranties, applied to both fraud and underwriting aspects.
A final report is scheduled for release in fall 2005 to coincide with debate on the sunset provisions of the USA PATRIOT Act.
Sunset provisions would be written into the legislation.
1) This article will address the sunset provisions, new income tax rate reductions, marriage penalty relief, and retirement provisions of the tax act.
8) It has been suggested that the retention of the gift tax exclusion at $1 million was necessary to prevent wealthy taxpayers from gifting away increasingly higher amounts between 2004 and 2010 before the sunset provisions took effect and returned the effective exemption amount to $1 million in 2011; see, e.
As a result of the phase-ins, phase-outs and sunset provisions, estate planning practitioners appear to have been left with a set of problems that only a crystal ball can solve.
For that reason, the Board hopes that the Congress would commit itself to a siniilar reexaniination of the banking statutes themselves-either through the use of sunset provisions when appropriate or, less forrnally, through periodic oversight hearings on existing statutes and regulatory burden.