CONTINGENT LIABILITY
(noun)Definitions
There is 1 meaning of the phrase
Contingent Liability.
Contingent Liability - as a noun
Liabilities that may be incurred by an entity depending on the outcome of a uncertain future event such as a court case.
Example: "Examples of contingent liabilities include outstanding lawsuits, product warranty, claims against the company not acknowledged as debts, and so forth."
Example Sentences
"The company disclosed a contingent liability in its financial statements."
"The lawsuit created a contingent liability for the organization."
"The insurance policy covers any contingent liability arising from accidents on the premises."
"The contingent liability related to potential damages resulting from a product recall."
"The contingent liability arose due to a breach of contract by a supplier."
