The sunset clause is a clause in section 2 of the Legislative Assembly and Executive Council Act that sets out the general provisions respecting electoral districts in the Northwest Territories. The section states there are 19 electoral districts and that each electoral district is entitled to return one elected Member to the Legislative Assembly. The sunset clause reads: "This section and schedule A are repealed on the dissolution of the 14th Legislative Assembly." If this were to occur at the end of the four-year term of this Assembly, there would no longer be any defined electoral districts, Members could not be elected to the Assembly and the Legislative Assembly would no longer exist.
It is also important to consider that it is the Legislative Assembly that authorizes the financial expenditures of the Government of the Northwest Territories for the provision of programs and services to northern residents.
In the unlikely event that the Legislative Assembly ceased to exist, all Assembly authority would be returned to the federally appointed Commissioner of the Northwest Territories.