Legal Definition of Liable: Legal responsibility; the obligation to do or not do something; an obligation to pay a debt; the responsibility to behave in a certain manner | Learn about the legal definition of liable and its implications for business owners. Understand your legal responsibilities and the potential consequences of non-compliance. Discover examples of liable situations such as contractual, financial, and product liability. By prioritizing legal compliance and risk management, protect your business’s reputation, financial stability, and long-term success