Checklist · Capital Markets & Securities — ECM/DCM and Disclosure
Checklist for AI-assisted verification of offer and disclosure documents
Step-by-step controls for using an AI tool to match statements in a prospectus or other disclosure document to source material, so that AI speeds verification without weakening the due diligence defence.
- Kind
- Checklist. Steps or checks to work through and tick off.
- Where it applies
- Australia
- AI use
- Yellow AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at
- 17 October 2026
- Status
- Maintained. Checked on 17 October 2026 against the 3 authorities it cites, for Australia.
- Version
- 1
- Source
- Written for this library
When to use it
Use when the DDC or the legal adviser proposes to use an AI tool in verifying a prospectus, PDS, scheme booklet or similar document. Not for continuous disclosure announcements, which are covered by the disclosure policy.
How AI may be used
AI may propose matches between statements and sources and flag gaps. Each verification note is confirmed by a person who has opened and read the source.
AI may
- Split the draft document into numbered statements and propose candidate source passages with document and page references
- Flag statements with no candidate source, inconsistent figures or unsupported superlatives
- Re-run comparisons after each draft turn and list changed statements
AI must not
- Must not mark any statement verified
- Must not be treated as a source; its summaries cannot support a verification note
- Must not be used on pre-offer information outside an approved, access-controlled environment
The lawyer checks
- Every verification note names a human verifier who read the source
- Sample of AI-supported matches rechecked and error rate recorded
- DDC report describes the AI use and its limits
Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.
Read the full text
The full text is for signed-in accounts. It is free. When you sign in you can:
- read the whole precedent, with its drafting notes beside it;
- copy it, or download it as a Word file or Markdown;
- add it to your firm’s knowledge base, so colleagues can find it;
- let the AI tools you connect read it from that knowledge base.
The summary, the law it rests on and the AI-use guidance above stay public. Privacy.
More in Capital Markets & Securities — ECM/DCM and Disclosure
- Continuous disclosure policy and disclosure committee charter
- Trading halt request letter to ASX
- Due diligence planning memorandum and verification protocol for a prospectus
- Securities trading policy (closed periods, clearance, exceptions)
- Review checklist for AI-related statements in disclosure documents and annual reports ('AI washing')
All precedents for Capital Markets & Securities — ECM/DCM and Disclosure · Tasks and AI use in this area