Due Diligence

[ASHLEE JAMES]

The term "Due Diligence" first came into common use as a result of the US Securities Act of 1933.The US Securities Act included a defense referred to in the Act as the "Due Diligence" defense which could be used by broker-dealers when accused of inadequate disclosure to investors of material information with respect to the purchase of securities.So long as broker-dealers conducted a "Due Diligence" investigation into the company whose equity they were selling, and disclosed to the investor what they found, they would not be held liable for nondisclosure of information that was not discovered in the process of that investigation.
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ASHLEE JAMES


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[Babu Sridhar]

Hi Friends
Can anybody suggest me a good book on due diligence.

[riskmanager]

In simple terms, Due Diligence is a detailed investigation of the affairs of a business or an individual. The aim of due diligence is to identify problems within a business or more specifically doing business with a particular individual, particularly any issues which may give rise to unexpected liabilities in the future. Before buying or making a significant investment in a business, a potential purchaser will want to know as much as possible about the business or who they are doing business with. For this reason, acquisitions are invariably preceded by extensive due diligence by the purchaser.
There are many books available online and offline on the subject of Due Diligence. But my favorite book is Checklists For Due Diligence by Peter Howson.

[maeleine]

Exercising due diligence in all your business affairs will do you best rather than harm your business. It's just a matter of being cautious and being able to protect your brand, investments and business reputation as a whole.

[Patariki Evert]

Due Diligence is a term used for a number of concepts involving either the performance of an investigation of a business or person, or the performance of an act with a certain standard of care. It can be a legal obligation, but the term will more commonly apply to voluntary investigations. A common example of due diligence in various industries is the process through which a potential acquirer evaluates a target company.

[janeaires]

For me "Due Diligence" defense which could be used by broker-dealers when accused of something.

[njwoods]

I think of due diligence as exercising caution.