noun Law, Business.
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Origin of due diligence
Words nearby due diligence
What does due diligence mean?
Due diligence most generally means reasonable care and caution or the proper actions that a situation calls for, especially those that help to avoid harm or risk.
Due means “proper” or “required.” In legal contexts, diligence means “the degree of care required in a given situation.” In this way, due diligence is the level of care or caution that a specific situation calls for.
Due diligence is especially used in legal and business contexts involving buying, selling, or giving professional advice. This kind of due diligence is often required by law in order to prevent liability.
The phrase due diligence can also refer to the process of researching or disclosing pertinent information before entering into a contract or deal.
For example, in the sale of a house, due diligence on the part of the seller involves disclosing information about the house, such as major problems and the dates when repairs were made. The buyer performs their due diligence by gathering this information and making the proper inspections of the house before the purchase.
It can also be used in more general contexts, as in Don’t believe everything you read on the internet—do your due diligence and fact-check anything that sounds fishy.
The phrase is often used with the verbs perform and do.
Example: Be sure to do your due diligence before investing—you want to be sure where your money is going and what the terms are.
Where does due diligence come from?
The first records of the phrase due diligence come from the 1400s, but the first records of it being used in its modern sense come from the 1780s.
Widespread use of the term increased during the second half of the 1900s. It has become especially associated with the kind of research and disclosures performed before contracts and sales are finalized and investments are made.
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What are some synonyms for due diligence?
What are some words that share a root or word element with due diligence?
What are some words that often get used in discussing due diligence?
How is due diligence used in real life?
Due diligence is typically used in the context of business or legal transactions. It is especially used with the verbs do and perform.
To all my friends who just gained interest in the stock market. $GME is what I call a meme stock. Do your due diligence before investing in companies. DON’T just listen to randoms on the internet.
— Daniel (@D_PowRs) February 2, 2021
This is scary stuff. Please perform your due diligence. If it sounds too good to be true, there’s a possibility it might be. https://t.co/vevSpxdfNz
— Marshall Clark (@mclarkcrypto) March 17, 2018
THUNE on Pruitt’s future: “Ultimately it’s going to be a decision between the President and the Adminstrator, but there’s enough smoke out there right now that I think it’s going to require some due diligence on the part of the WH and folks up here who are looking at it.”
— Frank Thorp V (@frankthorp) April 24, 2018
Try using due diligence!
Is due diligence used correctly in the following sentence?
I advise everyone to perform their due diligence by hiring a home inspector—you want to know what you’re buying.
Example sentences from the Web for due diligence
City auditors have begun digging into the city’s acquisition and due diligence processes too.Real Estate Debacles Loomed Large on Faulconer’s Watch|Lisa Halverstadt|December 10, 2020|Voice of San Diego
According to Rosner, the elimination of any equity from the deal “makes it clear that after months of additional due diligence, GM is not willing to take any risk on Nikola.”
The politicians’ counterproposal would still force companies to monitor human-rights and environmental issues across their global supply chains, and issue regular due diligence reports on a range of non-financial factors.In a historic vote, the Swiss will determine if multinationals should be held liable for global abuses|Vivienne Walt|November 27, 2020|Fortune
It is a process that will require patience and due diligence.For pollsters, it’s back to the drawing board after yet another miss in the 2020 election|reymashayekhi|November 17, 2020|Fortune
You should also conduct this assessment of supplementary measures with due diligence and document it.Europe puts out advice on fixing international data transfers that’s cold comfort for Facebook|Natasha Lomas|November 11, 2020|TechCrunch
With all due respect to his athletic skill, Gronkowski is not high on the list of NFL players that elicit carnal thoughts.‘A Gronking to Remember’ Speed Read: 8 Naughtiest Bits|Emily Shire|January 7, 2015|DAILY BEAST
I was pregnant, uncomfortably so, for the first time and with twins, due the following March.I Tried to Warn You About Sleazy Billionaire Jeffrey Epstein in 2003|Vicky Ward|January 7, 2015|DAILY BEAST
But most of this gap, say the researchers who carried out the study, is due to discrimination.
Now it can't open on my phone due to what appears to be software incompatibility.
Whether he gets his full due in popular culture remains to be seen.Ed Brooke: The Senate's Civil Rights Pioneer and Prophet of a Post-Racial America|John Avlon|January 4, 2015|DAILY BEAST
Two Battalions racing due North along the coast and foothills with levelled bayonets.Gallipoli Diary, Volume I|Ian Hamilton
Not only are they required to do things in a proper orderly manner, but people have to treat them with due deference.Children's Ways|James Sully
He came back in due time, but bringing nothing for me, and I felt that my appeal had been in vain.The Boarded-Up House|Augusta Huiell Seaman
Austria's fall was due to the lethargy and hesitation of the courts of Berlin and St. Petersburg.Napoleon's Marshals|R. P. Dunn-Pattison
They shall plan how this may be done with due propriety, and shall advise us of their action.