Liability, or responsibility, refers to the obligation to take care of something or someone and to be accountable for actions and decisions. For example, if you own a pet, you are responsible for its well-being, which includes feeding, grooming, and providing medical care. If something goes wrong, like your dog causing damage to a neighbor's property, you may be held liable for those actions. In a business context, liability can also mean being legally responsible for the consequences of your actions. If a company produces a faulty product that harms a customer, it may face legal liability. This means the business must address the issue, which could involve compensating the affected customer or fixing the problem.