Christy's new office lease states that rent will increase by 2% per year to cover tax increases.This is known as

Question

Quizplus · Accepted Answer

An escalator clause is a provision in a lease agreement that allows for rent increases based on certain circumstances, such as tax increases or inflation. In this case, Christy's lease includes an escalator clause that will increase the rent by 2% per year to cover tax increases.

Christy's New Office Lease States That Rent Will Increase by 2