5 Ways AI is Transforming Legal Document Review
Discover how artificial intelligence is revolutionizing the way attorneys analyze contracts, identify risks, and extract key information from legal documents.
By Evan Clendening, Co-Founder of EverIntent | October 28, 2025 | 12 min read
Executive Summary
AI contract review tools now analyze 50-page agreements in under 3 seconds—70% faster than manual review. Modern AI systems identify hidden clauses, assess compliance risks, flag unusual terms, and generate executive summaries with page-level citations.
1. Automated Clause Identification
AI systems trained on millions of contracts can identify and categorize key clauses: confidentiality agreements, termination conditions, dispute resolution mechanisms, indemnification provisions, limitation of liability, IP ownership, and force majeure clauses. What took 20 minutes of manual search now happens in 3 seconds.
2. Intelligent Risk Assessment
AI doesn't just find clauses—it evaluates whether they're risky. By analyzing millions of contracts across industries, AI tools develop baselines for "standard" vs. "unusual" provisions and flag terms that deviate from norms.
3. Executive Summarization with Citations
AI generates concise, citation-backed summaries: payment terms, performance obligations, warranties, termination rights, and renewal conditions—with exact page numbers. Partners can review AI-generated summaries in 3 minutes instead of reading entire contracts.
4. Redline and Version Comparison
AI detects every change between draft versions: added clauses, deleted provisions, modified language, and moved sections. This is critical when opposing counsel sends a "clean" revised draft that actually contains material changes.
5. Regulatory and Policy Compliance Checking
AI verifies whether contracts meet regulatory requirements. For example, data processing agreements must include GDPR-compliant clauses on data subject rights, breach notification, and sub-processor approvals. AI checks for these provisions automatically.