due diligence definition

due diligence

General: Measure of prudence, responsibility, and diligence that is expected from, and ordinarily exercised by, a reasonable and prudent person under the circumstances.

Business: Duty of a firm's directors and officers to act prudently in evaluating associated risks in all transactions.

Investing: Duty of the investor to gather necessary information on actual or potential risks involved in an investment.

Negotiating: Duty of each party to confirm each other's expectations and understandings, and to independently verify the abilities of the other to fulfill the conditions and requirements of the agreement. Also called reasonable diligence.

due diligence is in the Corporate, Commercial, & General Law, Entrepreneurship, Management, & Leadership, Investing and Negotiating & Conflict Resolution subjects.

due diligence appears in the definitions of the following terms: accurate, reasonable diligence, accuracy, good faith efforts, letter of intent (LOI) and diligence

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