What does sunset clause mean, the condition Nate Diaz has in his current UFC contract?

The sunset clause in Nate Diaz's UFC contract means that regardless of the promotion booking him for one final fight, the Stockton native will become a free agent once the time period of his contract ends.

In layman's terms, a sunset clause is a provision of law that will be automatically terminated after a fixed period, unless extended.

According to a report by ESPN MMA's Marc Raimondi, the 37-year-old indeed has a sunset clause in his contract and the expiry date for the same is approaching by the end of the year, probably by November.

The California-based fighter has been pushing the UFC to release him for some time. Diaz has also shown interest in pursuing a stint in boxing.

Diaz is far from the only fighter who has had the benefit of a sunset clause in his contract. In a recent interview with Sports Illustrated, former UFC double champion Georges St-Pierre also revealed that his contract with the UFC ends in the next two years.

After some last-minute opponent changes, Diaz is now scheduled to face former interim lightweight champion Tony Ferguson at UFC 279 on September 10.

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Nate Diaz talks about his last-minute opponent change

Due to Khamzat Chimaev missing weight, Tony Ferguson will now take on Nate Diaz as part of the UFC 279 main event. 'Borz' weighed in at 178.5 pounds, which is 7.5 pounds above the allowed welterweight limit.

In a recent interview with Megan Olivi of ESPN MMA, Nate Diaz said that even though he was irritated by the entire situation, he was not in the least bit concerned by the last minute opponent change.

Diaz elaborated that he was always prepared to fight anybody:

"It doesn't matter [fighting Tony Ferguson] anyway because I train for everybody always anyway. I don't train for fights anymore, I just train to fight everybody, I'my always ready for war."

Watch Nate Diaz talk about Tony Ferguson and Khamzat Chimaev below:

The Stockton native added that he would never consider fighting "little leaguer' Khamzat Chimaev in the cage. However, Diaz stated that he would be more than happy to take on the Chechen-born Swede outside the octagon:

"This guy... a straight up little leaguer playing in the major leagues... I'll never fight him in here [in the UFC], but I would fight him right now if I could find his b***h a** in here."

Khamzat Chimaev will now take on Kevin Holland in the co-main event of UFC 279.