Common Pitfalls in Third-Party Due Diligence

Corporate Compliance Insights


In this article, Daniel Wendt examines the cruciality of third-party due diligence for the success of any company's anti-corruption program and identifies some of the most commonly made mistakes. Wendt writes that, "with anti-corruption third-party due diligence ... shortcuts can lead to distressing results for the company, its shareholders, and the people responsible for third-party due diligence (among others)." Wendt said third-party relationships are the cause of many violations and investigations involving the Foreign Corrupt Practices Act (FCPA).