A legal due diligence audit is a comprehensive review of a company’s legal standing, contracts, compliance status, and potential liabilities. Unlike routine internal checks, it dives deeper into legal risks that may affect mergers, acquisitions, investments, or regulatory approvals. It examines corporate records, licenses, litigations, intellectual property, and statutory compliance to uncover hidden issues. Even businesses with strong internal controls can overlook certain legal obligations, especially when laws change frequently. This audit provides an independent, expert perspective, ensuring transparency, minimizing risks, and increasing investor confidence. Skipping it could lead to costly surprises during critical transactions or regulatory scrutiny.