I believe that Mizuho had a similar check in place. This stock was an IPO so there was no last price to compare against.
And that’s where effective logging can also shine, confirming that the warning message was triggered and was explicitly dismissed.
The key trick is to know where logging can best CYA, so as to keep it down to a full roar instead of generating gigabytes of noise.
If the average price is X basis points worse than the current top of book, that's slippage. So eg if highest bid in book is $100 and you are entering a sell order that would eat so much of the book that it would fill with an average price of $70, that's 30% slippage and probably not what you meant to do.
For liquid books, yes definitely I would expect these sort of checks (tipically against historical prices) to be in place.