comfort letter

comfort letter definition - business

comfort letter

  1. A statement issued by a certified public accountant declaring no indication of false or misleading information in the financial statements being used in connection with a securities offering.
  2. A written commitment of one party to another. For example, a company considering the purchase of property might seek assurance from the Environmental Protection Agency that the firm will not be held responsible for contamination resulting from previous use.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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