Legal Risk Assessment and Legal Due Diligence
Sooner or later the necessity of scaling arises on the relevant stage of business development and in most cases, it is caused by purchasing of additional assets and companies. In order to get objective information concerning the object of purchase, and all the risks associated with it, conducting a Due Diligence procedure is a must.
Our lawyers have extensive experience in conducting Due Diligence procedure, evaluating legal, property, personnel, and organizational risks. Analysis of legal risks (Legal Due Diligence) includes analysis of the company’s business activity to ensure the compliance with the legislation and assessment of risk regarding the possible claims from contractors and governmental authorities.
Our assistance to the clients when conducting Legal Due Diligence typically includes:
- Analysis of incorporation documents and examination of the property rights of the owners of the company;
- Analysis of the company’s rights to movable and immovable property, financial investments to the share capitals of the other company (analysis of the property title);
- Examination of the decision-making process legality with respect to the decisions made by the management body of the company;
- Assessment of the issue of securities legality;
- Examination for the disputes with the third parties, court proceedings, arrests and other encumbrances of property;
- Identifying of business tax risks, possible claims of the contractors or state supervision bodies;
- Examination on the availability of all licenses and permits necessary for the business activity;
- Analysis of the company’s compliance with the labor legislation;
- Research of the narrow areas of the company, such as examination of natural resources exploitation, foreign trade, antitrust legislation, etc.