Due Care Agreement Definition

Due Care is the application of due diligence to protect the interests of an organization. Due Diligence is the exercise of activities that maintain the duty of care. For example, Due Care develops a formalized security structure that contains a security policy, standards, baselines, guidelines, and procedures. Due Diligence is the ongoing application of this security structure to an organization`s IT infrastructure. Operational safety is the continuous maintenance of continuous due diligence similar to Due Care, but the two concepts differ in nature. Diligence is the act of performing maintenance that is necessary to keep something in good condition. It is also the practice of someone sticking to what is expected of them in a given situation. In other words, it is very prudent to be careful enough. However, due diligence is the act of conducting thorough research before committing to a particular action plan. Product liability was the context in which the general duty of care first developed.

Manufacturers must exercise due diligence for consumers who end up buying and using the products. In the House of Lords case of Donoghue v Stevenson [1932] AC 562, Lord Atkin stated that in California, mandatory investigation focused on the general category of conduct in question and the extent of the foreseeable harm it caused, not on specific acts or injuries in all cases. [28] Appeles lawyer Jeffrey Ehrlich convinced the California Supreme Court to clarify the central importance of this distinction in its 2011 decision in Cabral v. Ralphs Grocery Co.