[agilecoder]

These are all wonderful suggestions, but personal experience in the US and dealing primarily with candidates from medium to large companies is that reference checks get referred to HR, and the policy is to confirm dates of employment and positions only. Too much litigation risk in the US to say much more.

[moepstar]

So that's the situation for the US - i wonder how other parts of the world think about that practice, let alone if it's allowed by the law? Is there a list somewhere?

[ambiate]

Yes, the possibility of libel without burden of proof or ratification by the applicant.