liability

American  

[lahy-uh-bil-i-tee] / ˌlaɪ əˈbɪl ɪ ti /

noun

plural

liabilities

1. liabilities,

   1. Finance. moneys owed; debts or pecuniary obligations (assets ).

   2. Accounting. liabilities as detailed on a balance sheet, especially in relation to assets and capital.

2. something disadvantageous.

   His lack of education is his biggest liability.

3. Also liableness the state or quality of being liable.

   liability to disease.

---

liability British  

/ ˌlaɪəˈbɪlɪtɪ /

noun

1. the state of being liable

2. a financial obligation

3. a hindrance or disadvantage

4. likelihood or probability

---

liability Cultural  

1. An obligation or debt.

---

Other Word Forms

• nonliability noun
• preliability noun

Etymology

Origin of liability

First recorded in 1785–95; li(able) + -ability

Example Sentences

The opacity can be useful for those at the top: it limits liability and protects the bottom line.

From Salon

China is creating added liquidity in its yuan debt markets by offering the Japanese-style carry trade in which companies and countries can borrow in yuan to get lower yields and diversify their liabilities.

From The Wall Street Journal

“In 2026, it feels like a liability. I want technology and utility, not a logo that reminds me of how much my apartment value has dropped.”

From MarketWatch

The companies have long argued that Section 230 of the Communications Decency Act, passed by Congress in 1996, exempts platforms from liability for what third parties post.

From BBC

The proposal also protects free speech by ensuring that liability attaches only to statements a lender knows will discourage a person from applying for credit.

From The Wall Street Journal

Related Words

• damage
• inconvenience
• involvement
• loan
• mortgage
• obligation
• responsibility