Loss Contingency
/ˈlɔs kənˈtɪndʒənsi/
Definitions
- (n.) A potential liability or loss that may occur depending on the outcome of a future event.
The company disclosed the loss contingency related to the ongoing litigation in its financial statements.
Forms
- loss contingency
- loss contingencies
Related terms
See also
Commentary
Loss contingencies require careful assessment of likelihood and measurement to comply with accounting and legal disclosure standards.
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.