Distilled to its basics, our approach is to use cash compensation in banks as a contingent asset
of the banks.
A claimant that brings the same case but secures litigation funding, where the terms stipulate that the funder will take 30 per cent of the damages in the event that the claim is successful, will have a P&L impact of [pounds sterling]O (the funder picks up the legal fees) and a contingent asset
of [pounds sterling]5.
A shop in Oxford Street is much easier to value than a cask of maturing whiskey," said a tax lawyer with experience of contingent asset
A shop in Oxford Street is much easier to value than a cask of maturing whisky," said a tax lawyer with experience of contingent asset
A contingent asset
or a liability under ASC 805 mimics ASC 450, Contingencies, and requires that at the acquisition date, recognition occurs if both of the following criteria are met:
accountants were more conservative than Greek accountants in their recognition of a lawsuit in the financial statements as either a contingent asset
or a contingent liability.
The minimum financial strength of an institution which provides a bank guarantee, letter of credit or custodianship for a contingent asset
comprising security over property or other assets has been weakened from AA- to A-.
The use of this so-called contingent asset
was part of a sophisticated programme of measures to reduce the deficit and was hailed as an indication of the increasingly innovative approach that companies are taking to deal with pensions liabilities.
47, "Accounting for Contingent Asset
Other assets may be offered including contingent asset
agreements, letters of credit from secure third parties.
It could therefore be more appropriate to redefine goodwill as a contingent asset
The concern is that life insurers who use contingent assets
such as letters of credit to back the excess portion of reserves provide less protection for policyholders, the letter said.