BoatWiki - Definitions
Due diligence can be defined as the steps taken to asses the circumstances surrounding a particular transaction. It is invoked in order to protect one's self interest against fraudulent, illegal, or malfeasant actions.
A reasonable degree of self discipline and common sense should be employed in making any kind of due diligence evaluation. These are key factors when it comes to the scope of any investigative efforts.
In dealing with boat transactions, there are a number of areas in which due diligence might come into play. These may include an appraisal of the boat's condition, it's title or lien status, contractual arrangements, and the final means of settlement. The credibility and wherewithal of the respective parties should also come under scrutiny.
Boat purchase and sale transactions can be fraught with issues, many of which may be unfamiliar to the respective parties. This is where professional experts such as brokers, surveyors, attorneys, and title specialists could save the day. These may be well worth the cost, given the risk of losing a substantial investment.
Credits and References
4/31/2022 - Page initiated by Team BoatWiki.