- When an entity can be found liable for an action because of a law that is not open for interpretation.
accountability, law-enforced liability, corporate responsibility, regulatory liability
Related Terms and Acronyms
- Causation — Definition,
- A method of connecting an entity's conduct with an effect, which in some cases can prove legal liability.
- Common Law (CL) — Acronym, Very Important,
➥ Laws developed by judges through court decisions and precedent.
- Traditional, unwritten law based on English custom.
- Comparative Negligence — Definition,
- The degree to which the claimant's own negligence factored into damages, and how much liability can be attributed to each party.
- Contingent Liability — Definition,
- A legal responsibility to pay certain sums conditional on a future event such as a law suit or court case.
- Contributory Negligence — Definition,
- A legal defence that can be applied if the plaintiff is at least partially responsible for a harm, and if they are found partially liable, they can be denied any compensation.
- Liability — Definition,
- A situation where one party is found to be legally responsible for something.
- Loss Reserve — Definition,
- A reserve of money and liquid assets set aside by an insurer for the payment of claims that have been submitted but have yet to be paid out.
- Statute — Definition,
- A law established by an act of the legislature.
- Statute of Limitations (SOL) — Acronym,
- A period of time specified by statute within which an action at law must be brought or else be forfeited.
- Tort — Definition,
- An act that causes harm or loss.
- Tort Law — Definition,
- Civil law or the laws that govern civil lawsuits.
- Tortfeasor — Definition,
- A party who commits a tort (a civil wrong).