Legal Due Diligence · glossary
A short, mostly non-binding document in which the parties record the intended price and main terms before the full contract is drafted. Sunrise's set a price of €42 million. Chapter 1
Explained in Chapter 1, What Due Diligence Is For, of Legal Due Diligence.
The main page for this term is Heads of terms, in M&A Foundations.
Diligence runs between agreeing a deal in outline and signing it. Before it starts, the buyer signs a confidentiality agreement (NDA), promising not to use or pass on what it reads. The parties also agree non-binding heads of terms, which record the intended price and main terms.Read Chapter 1, What Due Diligence Is For →
Chapter 1 and this glossary are open to everyone; the whole edition is free to read with a free account until 31 January, and it stays open to an account opened by then.Chapter 1 of Legal Due Diligence and this glossary are free to read; the rest of the edition is in the Library, at €12 a month or €79 for a Year Pass.
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This term is part of one complete fictional deal, with every document attached and a test after every chapter. Open Legal Due Diligence → · All terms A–Z →