3. Potential Liability

Definition of Potential Liability

  1. Potential Liability means a liability to or claim for Tax which may result in a claim against the Seller under Schedule 13 (Tax Arrangements);

Examples of Potential Liability in a sentence

  1. Until the occurrence of any of the events set forth in paragraph (a) of this Section 5, at the end of each calendar quarter following the Closing Date, if the amount of Escrow Funds exceeds the Potential Liability, such excess will be paid by the Escrow Agent to Illinova following the end of such calendar quarter.