contingent liability

American  

noun

1. a liability dependent upon the occurrence of a particular event, as default by the maker of a guaranteed loan.

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Example Sentences

Last December, in a report, the IMF flagged India's "elevated public debt levels and contingent liability risks".

From BBC

Enfield £2.2m and Kensington and Chelsea a contingent liability of £1.5m.

From BBC

Each breach carries a maximum penalty of A$18 million, and Mayne said it would be appropriate for the bank to note a contingent liability for a potential fine in the financial accounts to be released this week.

From Reuters

Each breach carries a maximum penalty of A$18 million, and Mayne said it would be appropriate for the bank to note a contingent liability for a potential fine in the financial accounts to be released this week.

From Reuters

But other Italian financial institutions will have to stump up €1.6 billion via the recently-created bank rescue fund Atlante to buy MPS’s bad assets, saddling themselves with a large contingent liability.

From The Wall Street Journal