Traditional contract review is a lengthy process with negotiations that can last weeks. Contract review is prone to inconsistencies and human errors, which can lead to playbook standards and terms that are either missing or unenforced. Legal teams face enormous pressure to manage large workloads efficiently and protect their firm from risk, while working with minimal resources and time.
AI contract review software can facilitate the deal process by improving the speed to close while also providing additional benefits of cutting legal costs, improving accuracy, reducing risk, and more time to focus on higher-value legal work.
So, how does AI contract review software like BlackBoiler‘s Automated Contract Markup work?
Traditional contract review covers a wide range of tasks which cover the thorough examination of legal documents before it is signed to ensure that everything stated in the document is clear and accurate according to your company’s playbook.
Those involved in the contract review process are liable for each clause in the contract; thus, they need to be very cautious and attentive when conducting a review. This includes ensuring the contract is accurately marked up and a thorough understanding of a company’s playbook.
AI contract review software drives efficiency and lowers risk in the traditional contract review process, instantaneously marking up inbound contracts according to your company’s playbook, right in “Track Changes.” As a result, standardizing how the company reviews and markup their contracts, no matter who and where it is being negotiated.
When attorneys are no longer spending hours scrutinizing every contract clause and engaging in numerous rounds of emails with the opposite party, they are free to concentrate on higher-value tasks.
AI contract review allows your legal team to:
1. Cut legal costs
Contracts touch every sector of the economy. Global 1000 companies allocate more than $35B each year to review and negotiate high-volume contracts manually, with a large share going to salaries of lawyers making verbatim, repeat changes to contracts. BlackBoiler can automate 75% of this manual work, directly addressing a universal pain point of time-consuming and inefficient contract review and negotiation.
Unlike other contract review solutions, which can take months to deploy, BlackBoiler can build a bespoke editing model according to your company’s playbook within hours, allowing you to benefit from AI contract review.
AI contract review can reduce contract review time by more than 70%, and unlike similar products, BlackBoiler is fully AI-powered (no human involved) and can review your contract in minutes.
2. Reduce Risk
In-house legal teams worldwide rely on playbooks for their contract negotiations. Playbooks seek to standardize how legal teams review and negotiate contracts by specifying a company’s standard terms and fallback clauses. However, it is difficult to ensure that playbooks are followed as intended as interpretations may differ across a company, especially those with offices spread across the world. Not following a playbook can pose serious risks to companies, including increased liability and revenue leakage.
AI contract review can review contracts, identify inconsistencies, and automatically suggest edits consistent with a company’s playbook — as a result, standardizing how the company reviews and marks up their contracts, no matter who and where it is being negotiated.
Has there been a change in your playbook language? Don’t worry! BlackBoiler’s powerful machine learning is continuously learning from your edits and refining your bespoke editing model across the whole company.
3. Save Time
100% AI-powered contract review should take minutes, not hours.
Using powerful machine learning and artificial intelligence, BlackBoiler works by learning from edits to previously reviewed company documents to instantaneously review and markup documents in track changes. Unlike competitors, BlackBoiler is not a rules-based system nor based on industry-standard language or a third party’s determination of the “best” language or provision. Instead, BlackBoiler learns how each client has marked-up past contracts to create client-specific editing models and provisions to make fast company-specific revisions in track changes to previously unseen documents. Deploying the company’s legal playbook during each new contract review ensures consistency across the organization and prevents inadvertently missing important provisions.
AI contract review makes legal teams the hero, not the bottleneck.
4. Ensure Consistency and Quality
AI contract review ensures consistency, quality, and accuracy by standardizing the contract review process, no matter who and where it is being reviewed.
Playbooks help reduce risk and standardize how contracts are reviewed, but even those with years of experience can fail to follow a playbook. Contracts are reviewed by teams on both parties, with multiple revisions going back and forth before a contract is signed. The work is very monotonous, and frequently legal teams review contracts with similar language to those they had reviewed previously. Due to the tedious nature of contract review, the potential for error is very high.
The best benefit of AI contract review is that it frees up the legal team to deal with higher-value work. It allows the legal teams to be more of a partner to the business rather than a bottleneck.
Advantages of AI Contract Review
A well-executed contracting process can help you achieve significant savings in time, money, and labor, and allow your in-house counsel to focus on higher-level, strategic work. AI contract review software can offer proven advantages to you, your team, and your clients. And if you aren’t already exploring this technology, your competitors are.