Aug 8, 2025 · Contingent liabilities are potential liabilities that depend on the outcome of uncertain future events, such as lawsuits or product warranties. These liabilities must be recorded in a company's...

What are Contingent Liabilities? Contingent liabilities are a type of liability that may be owed in the future as the result of a potential event. They are, therefore, contingent, on something happening.

A contingent liability is a potential liability that may or may not become an actual liability. Whether the contingent liability becomes an actual liability depends on a future event occurring or not occurring.

Jan 4, 2025 · Contingent liabilities are a common feature of modern business. They are potential liabilities that may arise from past events or from existing conditions, but whose existence will only be …

IAS 37 defines and specifies the accounting for and disclosure of provisions, contingent liabilities, and contingent assets. A provision is a liability of uncertain timing or amount. The liability may be a legal …

Nov 25, 2024 · Contingent liabilities are potential liabilities that may or may not occur depending on future events. A contingent liability is the result of an existing condition or situation whose final …

What is a Contingent Liability? A contingent liability is a potential liability that may or may not occur, depending on the result of an uncertain future event.

Jun 23, 2025 · A contingent liability is a potential obligation that may arise from an event that has not yet occurred. It is not recognized in a company’s financial statements. Instead, only disclose the …

In accounting, contingent liabilities are liabilities that may be incurred by an entity depending on the outcome of an uncertain future event [1] such as the outcome of a pending lawsuit.

Aug 24, 2025 · Contingent liabilities are important in accounting because they indicate potential financial obligations based on uncertain future occurrences. While they may not always occur, their …