Grandfather Clause

Grandfather Clause
An exemption that allows persons or entities to continue with an activity they were engaging in before it became illegal through a change in regulation.

For example, imagine there's a passing of a new law that states restaurants can serve only food with less than 10 grams of fat per serving. If accompanied by a grandfather clause, the law would affect only new restaurants. All restaurants that began operating prior to the law would therefore be allowed to continue selling their products, regardless of whether their fat content exceeds the 10-gram limit. Because of the change in regulation, however, new restaurants must abide by the new law. Grandfathering is a debatable practice that often hinders some and benefits others.


Investment dictionary. . 2012.

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  • grandfather clause — n: a clause creating an exemption (as from a law or regulation) based on circumstances previously existing; specif: a provision inserted in the constitutions of some southern states after the Civil War requiring high standards of literacy and… …   Law dictionary

  • grandfather clause — ☆ grandfather clause n. 1. a former law in some Southern states waiving electoral literacy requirements for those whose forebears voted before the Civil War, thus keeping the franchise for illiterate whites 2. a clause in some legislation… …   English World dictionary

  • grandfather clause — An existing condition, usually in a contract or other agreement, that cannot be changed, even if the conditions are changed for others …   The small dictionary of idiomes

  • Grandfather clause — A grandfather clause is a term used in U.S. English for an exception that allows an old rule to continue to apply to some existing situations, when a new rule will apply to all future situations. It is often used as a verb: to grandfather means… …   Wikipedia

  • grandfather clause — A provision included in a new rule or regulation that exempts a business that is already conducting business in the area addressed by the regulation from penalty or restriction . Bloomberg Financial Dictionary * * * grandfather clause grandfather …   Financial and business terms

  • grandfather clause — 1. U.S. Hist. a clause in the constitutions of some Southern states after 1890 intended to permit whites to vote while disfranchising blacks: it exempted from new literacy and property qualifications for voting those men entitled to vote before… …   Universalium

  • grandfather clause — noun A clause or section, especially in a law, granting exceptions for people or organisations who were affected by previous conditions. Many building codes include a grandfather clause exempting older buildings until some amount of remodeling… …   Wiktionary

  • grandfather clause — Provision in a new law or regulation exempting those already in or a part of the existing system which is being regulated. An exception to a restriction that allows all those already doing something to continue doing it even if they would be… …   Black's law dictionary

  • grandfather clause — Provision in a new law or regulation exempting those already in or a part of the existing system which is being regulated. An exception to a restriction that allows all those already doing something to continue doing it even if they would be… …   Black's law dictionary

  • grandfather clause — a written statement that protects an employee, a right, a privilege, etc.    They can t demote him or delete his position because he has a grandfather clause …   English idioms

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