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Polar Ltd is taking legal action against its key supplier for non-delivery of the major supply claiming damages of 5mln and it has been advised

Polar Ltd is taking legal action against its key supplier for non-delivery of the major supply claiming damages of 5mln and it has been advised that it is probable that it will win the case in 2018. Y/end is 31 Dec 2018.

Identify how it should be treated in financial statements?

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