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due dilligence


Definitions from the Web

Term: Due Diligence


Due diligence refers to the necessary care and investigation that is undertaken in order to make well-informed decisions or to verify the accuracy of facts before entering into a business transaction or investment. It is a meticulous process designed to gather and analyze relevant information and assess potential risks or benefits associated with a particular decision.

Sample Sentences:

1. Before finalizing the merger, the company conducted extensive due diligence to assess the financial health and operational efficiency of the potential partner.

2. Investors should always conduct thorough due diligence when considering a new venture to minimize the possibility of unexpected pitfalls.

3. The lawyer emphasized the importance of due diligence before signing the contract, urging the clients to review all legal documentation carefully.

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