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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

grandfather clause  

Definition 1.

Allowable continuance, based on practice prior to legislation, of a practice now forbidden by new legislation.
 

Definition 2.

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.
 

Definition 3.

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.
 
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