Contingent Liability
Definition
- To be potentially obligated to pay out, pay back, repair or replace in the event of an unforeseen accident, incident, or failure of a product or service.
Synonyms
likely, unexpected possibility, conditional liability, probable
Related Terms and Acronyms
- Alimony — Definition,
- Monthly payments received by an ex-spouse. Payments must be received continuously for one year to be counted toward qualifying income for a loan.
- Causation — Definition,
- A method of connecting an entity's conduct with an effect, which in some cases can prove legal liability.
- Child Support (CS) — Acronym,
- Monthly payments that contribute to the care of a child. Payments must be received continuously for one year to be counted toward qualifying income for a loan.
- Contingent Beneficiary — Definition,
- A beneficiary who only receives his or her benefit when specific conditions have been met.
- Liability — Definition,
- A situation where one party is found to be legally responsible for something.
- Statutory Liability — Definition,
- Liability that is assigned by law and is not open for interpretation.
