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 Two corporations were engaged in a legal dispute about the infringement of a patent right

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 Two corporations were engaged in a legal dispute about the infringement of a patent right. Baldwin Products, Inc. and a competitor, Lima Corp., are the parties involved in court litigation. Below is a summary timeline of specific events which have occurred related to this matter: • In May 2015, Lima filed a claim against Baldwin for patent infringement. • For the year ended December 31, 2015, management of Baldwin determined that a loss for this matter was probable and represented that the estimate of loss was in the range of $20 million to $30 million, with $24 million being a reasonable estimate of the most likely amount of loss within the range. • A jury trial took place in September 2017. • The jury reached a verdict on September 15, 2017, and a judgment was ordered in favor of Lima. The judgment required Baldwin to pay Lima $27 million. • In November 2017, Baldwin filed a Notice of Appeal with the Court of Appeals. • In December 2018, the Court of Appeals issued a ruling in favor of Baldwin's appeal and reversed the lower court's ruling on the matter. This meant that the Court of Appeals overturned the jury verdict and the $27 million judgment against Baldwin. • On January 6, 2019, Lima filed a petition for a re-hearing before the same panel of appellate judges against the reversal of ruling by the Court of Appeals. • On February 10, 2019, the appellate judges declined the petition for a re-hearing. • On February 28, 2019, management of Baldwin determined this matter was closed upon discussions with in-house legal counsel.
1. For the year-end December 31, 2015 financial statements, discuss whether Baldwin should record a liability, and if so, at what amount?