Dictionary of Business Terms: recapture clause
recapture clause
in a contract, a clause permitting the party who grants an interest or right to take it back under certain conditions.
Dictionary of Real Estate Terms: recapture clause
recapture clause
in a contract, a clause permitting the party who grants an interestor right to take it back under certain conditions.
Example: Carter grants a lease to Frank's Furniture, with rent set at 6% of retail sales. The lease contains a recapture clause whereby Carter can regain the property unless sales are over $1 million per year.
