Risk Acceptance
/ˈrɪsk əkˌsɛptəns/
Definitions
- (n.) A legal or contractual decision to knowingly tolerate a specific risk without seeking to avoid or mitigate it.
The company’s risk acceptance was documented to acknowledge potential liabilities openly.
Forms
- risk acceptance
Related terms
See also
Commentary
Risk acceptance is often formalized in risk management policies within contracts or corporate governance to clarify that certain risks are deliberately tolerated.
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.