Before signing with a distributor, a supplier or a business to buy, people ask for a due diligence. The phrase covers two different pieces of work. One reviews the commercial background of the counterparty from public sources. The other is a legal examination carried out by qualified lawyers, with documents that only the counterparty can supply. This page sets out where each stops, so you do not rely on one for what only the other can say.
A commercial background review reads what is published: registry entries, the company's own website and domain, trade presence and public commentary. It shows whether these sources agree and flags where they do not. Legal due diligence goes into contracts, title, claims, compliance and the rights a counterparty actually holds, using documents the counterparty provides, and it ends in a legal opinion that others may rely on. A commercial review does neither of these things, and its findings are not an opinion on anything.
On a larger deal the two can be run side by side, and the commercial review's open points can be passed to the lawyers as questions.
A general comparison. Legal work is carried out by professionals qualified where the matter arises.
| Question | Commercial background review | Legal due diligence |
|---|---|---|
| Who performs it | LATYNEX Research, from public and client-provided sources | Qualified lawyers |
| Material used | Public records, website, trade and public commentary | Documents supplied by the counterparty, plus public records |
| What it can show | Whether sources agree and where they conflict | Whether rights, contracts and obligations stand as stated |
| What it cannot show | Contracts, title and the rights a counterparty holds, which only documents it supplies can show | What the public sources say about trading footprint and reputation |
| Form of output | Report with findings classed and sourced, plus a limits note | Legal report or opinion, as the lawyers agree with you |
| Can you rely on it as legal assurance | No | Within the terms of the engagement |
No commercial review contains a legal opinion, a screening or a financial audit.
The commercial review covers the public side of the supplier; any legal question goes to a lawyer.
Commercial review of the distributor first, then lawyers for the contract and the exclusivity terms.
Commercial review informs which questions to put; the legal examination is for the lawyers and cannot be replaced.
Research reports what can be established from public and provided sources. It is not a guarantee about a counterparty's future conduct and not legal advice.
No. It does not provide any legal opinion.
No. The report states what reviewed sources show and what they do not.
That depends on the deal. The commercial review's open points can be passed to the lawyers as questions.
No obligation. We read your request and reply with a straight answer.
Tell us what you need to find out and by when. We confirm scope before any work starts.
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