This course provides an overview of the accounting and financial reporting requirements with respect to litigation. This includes distinguishing between probable, reasonably possible, and remotelitigation outcomes as well as how to evaluate, recognize, measure, and disclose litigation-related contingencies.
Learning Objectives
Upon successful completion of this course, participants will be able to:
Differentiate between probable, reasonably possible, and remote litigation outcomes
Identify when to accrue a liability for litigation-related contingencies under ASC 450-20
Recognize the role of legal counsel in the litigation process
Identify the appropriate financial statement disclosures for litigation-related contingencies
Major Topics
Types of Legal Disputes
Importance of Accurate Evaluation
Applicable U.S. GAAP Guidance
Likelihood of Litigation Outcomes
Assessing the Likelihood of Litigation Outcomes
Role of Legal Counsel
Asserted vs. Unasserted Claims
Recognition and Measurement of Legal Contingencies
Gain Contingencies
Financial Statement Disclosures
