Liability Account
/ˌlaɪəˈbɪləti əˈkaʊnt/
Definitions
- (n.) An accounting ledger account recording debts or financial obligations of a business or individual.
The accountant reviewed the liability account to verify outstanding debts.
Forms
- liability account
- liability accounts
Related terms
See also
Commentary
In legal drafting, ensure clarity whether 'liability account' pertains strictly to accounting context or broader financial obligations in contracts.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.