CERTYNEX IFRS ACADEMY

In February, an accident at a Vuvois site, occurring that same month, leads local residents to bring a major claim against it; the outcome and amount are highly uncertain. How is it treated in the accounts at 31 December?

No disclosure until the court rules on whether the claim is admissible.

A provision at 31 December for the amount claimed by the residents, as a precaution.

A contingent liability disclosed at 31 December as if it existed at the reporting date.

No provision; describe the claim and estimate its effect or state that an estimate cannot be made.