Academic paper sometimes reference retracted articles. This should be avoided as it can impact the overall validity of the review (Unless the reason for retraction is part of the paper). It is good practice to check for retracted papers before submission/publication.
For further information read Reducing the residue of retractions in evidence synthesis: ways to minimise inappropriate citation and use of retracted data
Checking for Retractions
This can be a time consuming manual task, fortunately the Endnote reference management software includes the Retraction Watch database, including nearly 30,000 retracted papers and conference abstracts.
Read EndNote 21 & 20: Retraction Alerts for information on enabling retraction alerts.