Final answer:
Admitted liability is a legal concept where a party accepts responsibility for causing harm or injury to another person, and it is applicable in cases where a legal action is required. It involves acknowledging fault or negligence and agreeing to compensate the injured party.
Step-by-step explanation:
Admitted liability refers to a legal concept where a party accepts responsibility for causing harm or injury to another person. It means that the party acknowledges their fault or negligence and agrees to compensate the injured party. This concept is applicable in cases where a legal action is required, such as personal injury lawsuits.
For example, if a car manufacturer admits liability for a faulty vehicle that caused an accident and injuries, they would accept responsibility and compensate the injured victims.