Due diligence and anti-bribery clauses for intermediaries—SRA requirements?

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Published on LexisPSL on 15/11/2019

The following Practice Compliance Q&A provides comprehensive and up to date legal information covering:

  • Due diligence and anti-bribery clauses for intermediaries—SRA requirements?
  • SRA requirements
  • Bribery
  • Failure to prevent bribery
  • Adequate procedures
  • Assessing the risk of bribery and corruption
  • The risk posed by using intermediaries
  • The final word

SRA requirements

The SRA does not give a list of regulatory requirements on anti-bribery and corruption.

However, it does require you to:

  1. identify, monitor and manage all material risks to your business, and

  2. keep up to date with and follow the law and regulation governing the way you work


The law relating to bribery and corruption is found in the Bribery Act 2010 (BA 2010), which contains four principal offences:

  1. bribing another person

  2. soliciting or accepting a bribe

  3. bribing a foreign public official, and

  4. (for a business) failing to prevent bribery

Common to each of these offences is:

  1. a (financial or other) advantage is given, promised or requested, and

  2. the improper performance of a function or activity

Failure to prevent bribery

Of particular concern to businesses is the offence of failure to prevent bribery that applies to commercial organisations only. It occurs when a person, A, associated with such an organisation, B, bribes another person with the intention of obtaining or retaining business, or business advantage, for B.

In this respect:

  1. a commercial organisation for these purposes is an incorporated body or partnership formed under the law of, or carrying on any business in, any part of the UK; it will thus include foreign businesses trading in the UK

  2. A is an associated person if they perform services for B; the test is not one of control, so agents, distributors, other

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