Due diligence (Ro: diligență minimă, raport preliminar extern de evaluare, audit intern, investigare, verificare, Gr.: δέουσα επιμέλεια Cz.: povinná péče) (See also: Audit, Examination, Legal & Financial Analysis, Inspection, Scrutiny, M&As, Hedge Funds, Corporate Governance, Tort Law, Negligence) =
(Broad meaning) The measures taken by a prudent, reasonable person in a certain situation in order to avoid the materialising of the potential risks. The term is used with this sense in tort law, related to negligence cases, but it can also be found in criminal law, referring to the cases when the defendant has to prove that he/she has done everything reasonably possible to prevent an offence he/she has committed (Ro.: teoria agentului model).
(Specific meaning) The process of investigating a business, particularly before a merger or acquisition, a privatisation or other transaction. Its purpose is to verify its compliance with specific standards, under a variety of circumstances and to identify risks. In some cases, it can also be applied to individuals (e.g. before signing an employment contract). Although due diligence can sometimes emerge as a legal obligation, it is most often made voluntarily by companies, either internally or as a result of an external contract.
http://www.marsdd.com/articles/securing-investment-due-diligence-process-in-venture-capital/ - MaRS, Due diligence process in Venture Capital
http://hbr.org/2007/04/human-due-diligence/ar/1 – David Harding & Ted Rouse, Human Due Diligence
http://online.wsj.com/news/articles/SB119810791163740721 – Rachel Emma Silverman & Sally Beatty, Doing due diligence on your donations
http://www.mckinsey.com/insights/corporate_finance/due_diligence_in_china_art_science_and_self-defense – David Kogman, Due diligence in China: art science and self defense
http://www.inc.com/articles/1999/11/15747.html – Inc., IPO Basics: Due diligence
http://www.divest.nic.in/due_diligence_process.pdf – Due diligence process
http://www.business-humanrights.org/media/documents/ruggie/ruggie-guiding-principles-21-mar-2011.pdf – John Ruggie, Human Rights Council, Report on the issue of Human Rights and Transnational Corporations and other Business Enterprises
Roodman, David, 2012, Washington, Due Diligence: an Impertinent Inquiry intro Microfinance, Center for Global Development
Howson, Peter, 2003, USA, Due Diligence: The critical stage in Mergers & Acquisitions, Gower Publishing Company
Lawrence, Gary M., 1994, up-to-date 2004, New York, Due Diligence in Business Transactions, Law Journal Press
Lajoux, Alexandra, Elson, Charles, 2011, USA, The Art of M&A Due Diligence, Second Edition: Navigating Critical Steps and Uncovering Crucial Data, McGraw-Hill Companies
Reuters, Thomas, 2012, USA, Business Due Diligence Strategies, Inside the minds
Gole, W.J., 2009, Due diligence: An M&A value creation approach, Wiley
Rosenbloom, Arthur H., 2002, USA, Due Diligence for Global Deal Making: The Definitive Guide to Cross-Border Mergers and Acquisitions, Joint Ventures, Financings, and Strategic Alliances
Camp, Justin J., 2002, New York, Venture Capital Due Diligence, John Wiley and Sons, Inc.