DEFINITION: CONTINGENT LIABILITIES A Contingent Liability is a loss which depends on the outcome of the contingency. A contingency is a condition or circumstance, the eventual outcome of which, whether beneficial or adverse, will only be confirmed by the course of uncertain future events. from National Treasury Annual Financial Statements Aug 18, 2011 · The term contingent liabilities means liabilities that are not included in a normal balance sheet of a company's income. These liabilities are pending the actions of other outcomes such as court cases or employees benefits.

Apr 03, 2009 · Off-balance sheet financing is most commonly used in an operating lease, such as when a company decides not to purchase a building for a business by taking out loans.