liability

American  

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

noun

liabilities plural

1. liabilities,

   1. Finance. moneys owed; debts or pecuniary obligations (opposed to 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.

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liability British  

/ ˌlaɪəˈbɪlɪtɪ /

noun

1. the state of being liable

2. a financial obligation

3. a hindrance or disadvantage

4. likelihood or probability

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liability Cultural  

1. An obligation or debt.

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Other Word Forms

Derived Forms

• nonliability
  noun
• preliability
  noun

Inflected Forms

Nouns

• liabilities
  plural

Etymology

Origin of liability

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

Explanation

A liability is a debt or obligation or a personal flaw that stands in your way. A company's liabilities are simply the debts on its ledger, but a personal liability might be your extreme shyness in social situations. Depending on how you use it, the word liability has very different meanings. In a business or financial sense, a liability is a debt or fiscal obligation, like a mortgage or a loan. A limited liability company means if the company fails, the partners are on the hook for only what they initially invested in the company. A personal liability, however, is some element of your past, your character, or your behavior that might give you a disadvantage.

Example Sentences

He said this created a "multi-generational financial and environmental liability", leaving our descendants with years of flood defence maintenance and the "insurmountable challenge of safe, millennia-long, highly radioactive nuclear waste isolation, amid a changing climate".

From BBC • Jul. 9, 2026

In Thailand, children under the age of 12 have no criminal liability.

From Barron's • Jul. 3, 2026

Now its reliance on retail clientele has become a liability, as withdrawal requests threaten the firm’s fee revenue.

From The Wall Street Journal • Jul. 2, 2026

Patricia Avila filed her civil suit against Brown in Los Angeles County Superior Court five years ago, suing the singer for premises liability, negligent infliction of emotional distress and strict liability.

From Los Angeles Times • Jul. 1, 2026

“There are liability issues, and actually, they’re unhappy that we can make arrests. But legally we can do almost as much as police officers.”

From "Newjack: Guarding Sing Sing" by Ted Conover

Related Words

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