ALERT

[NEED LEGAL HELP?] Call our 24/7 Helpline: 1-866-723-4855

Liabilities

Definition - What does Liabilities mean?

A liability is something that a person owes financially for or which they owe money on. Liabilities are items that a person is responsible for in that regard. If a person takes a loan, they have a liability to repay the loan and they are legally obliged to do so. In terms of debt consolidation, a person would try to amalgamate certain liabilities to create less of them and try to make them more manageable.

Justipedia explains Liabilities

If a person is in trouble financially and are forced into bankruptcy, they are legally obligated to list all of their assets in order for a court appointed representative to review them and try to find a way to pay the liabilities over a longer time period at a decreased rate. Companies are legally obligated to list all of their financial liabilities for tax purposes and for accounting standards.

Share this:

Connect with us

Justipedia on Linkedin
Justipedia on Linkedin
Tweat cdn.justipedia.com
"Justipedia" on Twitter


'@justipedia_com'
Sign up for Justipedia's Free Newsletter!

Find a Lawyer