Due Diligence
Comprehensive investigation of a target company's legal, financial, tax, and business matters before M&A or investment. Failure to conduct proper DD may constitute breach of director duty of care.
Statute Reference
会社法330条・民法644条
FAQ
Q. What does Due Diligence mean?
Comprehensive investigation of a target company's legal, financial, tax, and business matters before M&A or investment. Failure to conduct proper DD may constitute breach of director duty of care.
Related Terms
Related Articles
Can You Commercially Use Generative AI Output in Japan? Copyright Article 30-4 and Output-Stage Risk
Whether you can commercially use generative AI output in Japan, from a copyright standpoint: how Article 30-4 relaxes the training stage and its proviso, the distinction between training and output, the reliance-plus-similarity test that applies at the output stage, mixed enjoyment purposes, the Agency for Cultural Affairs’ view, and practical steps.
Foreign Company Entering Japan: Choosing an Entity Type and the Governing Law of Your Contracts
How a foreign company can enter Japan: the differences among a representative office, a branch, and a subsidiary; comparing the KK and GK company forms; designing the governing law and dispute resolution of local contracts; inward direct investment filings under the Foreign Exchange Act; industry-specific licenses; and the practical steps.
Free Tools
Consult a Legal Professional
Find a lawyer through your local bar association
JFBA Legal Consultation Guide