AI Contract Analysis

ay-eye KON-trakt uh-NAL-uh-sis
The use of artificial intelligence (AI) technologies, such as natural language processing (NLP) and machine learning, to analyze and review legal contracts. This process involves extracting key information, identifying clauses and obligations, assessing risks,
The legal team utilized AI contract analysis software to expedite the due diligence process for a complex merger agreement.

Real-Case Example:

A 2022 study published in the Harvard Journal of Law & Technology examined the use of AI contract analysis in mergers and acquisitions. The study found that AI-powered tools significantly reduced the time required for contract review and improved the accuracy of identifying key provisions and potential risks.

← Back to BrowseNext Term →

Frequently Asked Questions

AI contract analysis significantly reduces the time and effort required for manual contract review, allowing legal professionals to focus on higher-value tasks. It helps identify potential risks and inconsistencies in contracts, minimizing the chances of errors or disputes. Overall, AI contract analysis enhances efficiency, accuracy, and productivity in contract management.

While AI contract analysis is a powerful tool, it cannot completely replace human contract review. Legal professionals bring valuable expertise, judgment, and contextual understanding that AI technology may not possess. AI contract analysis should be seen as a complementary tool that assists legal professionals in their contract review process, rather than a substitute for their expertise.

AI contract analysis typically involves a combination of NLP and machine learning algorithms. NLP allows the software to understand and interpret the language used in legal documents, while machine learning enables the software to identify patterns and make predictions based on the data it analyzes. These technologies allow AI contract analysis tools to extract relevant information, identify specific clauses, and highlight potential risks or inconsistencies in contracts.

See all that Filevine can do with a customized demonstration from our team

Schedule a Demo