what is a sunset clause securities
DEFINITION of 'Sunset Provision'. A clause in a statute, regulation or similar piece of legislation that provides for an automatic repeal of the entire or sections of a law once a specific date is reached.Once the sunset provision date is reached, the pieces of legislation mentioned in the clause are rendered void.If the government wishes to extend the length of time for which the law in question will be in effect, it can push back the sunset provision date any time before it is reached.nce the sunset provision date is reached, the pieces of legislation mentioned in the clause are rendered void. If the government wishes to extend the length of time for which the law in question will be in effect, it can push back the sunset provision date any time before it is reached.