This comprehensive course provides participants with the essential knowledge and tools to effectively account for and report litigation-related contingencies. Legal disputes, ranging from contract breaches and product liabilities to employment claims and regulatory investigations, can introduce significant financial uncertainty for organizations. This course guides professionals through the complexities of evaluating and categorizing these risks in accordance with U.S. GAAP, particularly ASC 450-20.

Participants will learn to distinguish between probable, reasonably possible, and remote outcomes, determine the conditions under which liabilities should be accrued, and accurately measure potential financial impacts. The course emphasizes the importance of collaborating with legal counsel to assess the strength of cases, evaluate settlement possibilities, and understand the implications of jurisdiction and legal precedents. It also explores best practices for disclosing legal contingencies to stakeholders to ensure financial transparency and compliance.

Through practical examples and real-world scenarios, attendees will gain insights into the role of subsequent events, strategies for managing gain contingencies, and the critical importance of accurate financial reporting. By the end of this course, participants will be equipped to navigate the challenges of litigation accounting and maintain the integrity of their organization’s financial statements.