### Question
What is the definition of terminal rental adjustment clause?


### Answer
The definition of **terminal rental adjustment clause** is as follows in *26 U.S.C. § 7701*:

> a provision of an agreement which permits or requires the rental price to be adjusted upward or downward by reference to the amount realized by the lessor under the agreement upon sale or other disposition of such property

#### Citation:
  - *26 U.S.C. § 7701*
  - Heading: **Subtitle F-Procedure and Administration > CHAPTER 79-DEFINITIONS**

