clawback

[ klaw-bak ]

noun

1. the recovery of previously dispensed or protected money or benefits through a contractual provision or tax law, typically triggered to counter a shortfall in financial performance or offset a liability (often used attributively): Most public companies have clawback provisions, but boards choose not to invoke them.

   One executive’s clawback exceeded fifty million dollars.

   Most public companies have clawback provisions, but boards choose not to invoke them.

verb phrase

1. to require the return of (money or benefits):

   The government will claw back subsidy payments from households in the higher of the two income brackets.

2. to recover (a previously held asset or status) with substantial effort:

   The reigning champions were unable to claw back a playoff berth after their dismal regular season.

Word History and Origins

Origin of clawback¹

First recorded in 1950–55; clawback def 1 derives from the verb phrase claw back (in the sense “to take back by great effort over a period of time”)

Example Sentences

It’s because they have decided their best defense, the only way to save the deal and maybe $24 million in clawbacks is to argue that the city knew Hughes was getting paid all along.

From Voice of San Diego

There is no clawback, unless someone fraudulently obtained a payment.

From Washington Post

“The $28 million still stands as the biggest clawback we can point to” nationwide, he said.

From ProPublica

Despite Reese’s defense, the clawback nevertheless weighed on the mind of his boss.

From ProPublica

Picard said Madoff investors who face “clawback suits” can file for hardship with his office and have the cases dropped.

From The Daily Beast

"If you file a claim for a million, then yes, when the clawback letter comes for a million, you can't lie," Colombo said.

From The Daily Beast

The word on everyone's mind at the town hall was "clawback," a phrase that sounds like a mythical demon and is about as feared.

From The Daily Beast

Flaterabundus, "ye flaterabundus you" (R188,a), see Clawback.

From Project Gutenberg