Mergers and acquisitions remain a preferred route for expansion, market entry, and consolidation in India. Despite strong commercial intent, a significant number of transactions fail to deliver expected value or collapse entirely after completion. In many cases, the root cause is not flawed strategy or valuation, but overlooked legal risk. Legal due diligence plays a critical role in identifying structural weaknesses, compliance gaps, and dispute exposure before a transaction closes. When inadequately conducted, these issues surface post acquisition, often leading to regulatory action, litigation, or operational disruption. Examining failed mergers and acquisitions offers important lessons on the consequences of insufficient legal scrutiny. Understanding Legal Due Diligence in M&A Transactions Legal due diligence involves a comprehensive review of a target company’s legal position. This includes corporate structure, contracts, regulatory compliance, intellectual property, employmen...
Mergers and acquisitions remain a preferred route for expansion, market entry, and consolidation in India. Despite strong commercial intent, a significant number of transactions fail to deliver expected value or collapse entirely after completion. In many cases, the root cause is not flawed strategy or valuation, but overlooked legal risk. Legal due diligence plays a critical role in identifying structural weaknesses, compliance gaps, and dispute exposure before a transaction closes. When inadequately conducted, these issues surface post acquisition, often leading to regulatory action, litigation, or operational disruption. Examining failed mergers and acquisitions offers important lessons on the consequences of insufficient legal scrutiny. Understanding Legal Due Diligence in M&A Transactions Legal due diligence involves a comprehensive review of a target company’s legal position. This includes corporate structure, contracts, regulatory compliance, intellectual property, employmen...