liability
Americannoun
plural
liabilities-
liabilities,
-
Finance. moneys owed; debts or pecuniary obligations (opposed to assets).
-
Accounting. liabilities as detailed on a balance sheet, especially in relation to assets and capital.
-
-
something disadvantageous.
His lack of education is his biggest liability.
-
Also liableness the state or quality of being liable.
liability to disease.
noun
-
the state of being liable
-
a financial obligation
-
a hindrance or disadvantage
-
likelihood or probability
Other Word Forms
Etymology
Origin of liability
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.
Vocabulary lists containing liability
The Lightning Thief
Looking to grow your vocabulary? Check out this interactive, curated word list from our team of English language specialists at Vocabulary.com – one of over 17,000 lists we've built to help learners worldwide!
The Kite Runner
Interested in learning more words like this one? Our team at Vocabulary.com has got you covered! You can review flashcards, quiz yourself, practice spelling, and more – and it's all completely free to use!
100 SAT Words Beginning with "J," "K," and "L"
Want to remember this word for good? Start your learning journey today with our library of interactive, themed word lists built by the experts at Vocabulary.com – we'll help you make the most of your study time!
Example Sentences
Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.
The insurers had alleged that they were shielded from antitrust liability under both California and federal law due to a certain legal doctrine.
From Los Angeles Times • May 16, 2026
That deal, and a similar one struck in 2024, didn’t absolve him of criminal liability.
From The Wall Street Journal • May 12, 2026
The watchdog and water company agreed a voluntary settlement and South Staffordshire made an early admission of liability, agreeing to pay the penalty without appeal.
From BBC • May 12, 2026
But you would not have an actual tax liability given that the lifetime gift-tax exemption is $15 million for a single person or $30 million for a couple filing jointly.
From MarketWatch • May 9, 2026
They’re probably thinking I won’t be able to relate to their grandson, that I might even be a liability for him in the new neighborhood, and I completely agree.
From "Boy21" by Matthew Quick
Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023
Idioms from The American Heritage® Idioms Dictionary copyright © 2002, 2001, 1995 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company.
