M International (M) and W Inc. (W, a competitor of M) have been engaged in longstanding litigation over a specific patent infringement matter. Below is a summary timeline of specific events that have taken place related to this matter: 1. In May 2007, W filed a claim against M for patent infringement. 2. For the year ended December 31, 2007, management of M determined that a loss for this matter was probable and represented that the estimate of loss was in the range of $10 million to $15 million, with $12 million being the most likely amount of loss within the range. 3. A jury trial took place in September 2009. 4. The jury reached a verdict on September 24, 2009, and a judgment was ordered in favor of W. The judgment required M to pay W $14 million. 5. In November 2009, M filed a Notice of Appeal with the Court of Appeals. 6. In December 2010, the Court of Appeals issued a ruling in favor of Ms appeal and reversed the lower courts ruling on the matter. This meant that the Court of Appeals overturned the jury verdict and the $14 million judgment against M. 7. On December 20, 2010, management of M determined this matter was closed upon discussions with in-house legal counsel.

For the year-end December 31, 2010, financial statements, what amount should M record as a liability?