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Leveraging AI for Reliable Contract Certification: TermScout's Certified Contracts

Written by TermScout | Apr 11, 2024 8:30:44 PM

In today's legal landscape, ensuring contract integrity is critical. Certify™, TermScout's software solution, offers a practical approach for legal professionals, small law firms, and corporate legal departments by certifying contracts as fair, balanced, and meeting industry standards so buyers can sign with confidence.

With Certify™'s advanced AI technologies and our human quality control, we can accurately and systematically evaluate contracts, providing reliable certification reports on how customer-favorable a contract and its terms are.

Here's a closer look at how it works, its benefits, and its adoption in various industries.

TermScout Contract Certification Process

  1. Submission: A company submits their contract to TermScout for certification review. The contract is securely handled throughout the process.
  2. AI Analysis: TermScout's advanced AI algorithms, utilizing natural language processing and machine learning, scan the contract. This step identifies potential issues and checks for the presence of "Deal Breaker" clauses. (Note: Deal Breakers are toxic provisions deemed unacceptable to most customers. [Link to Deal Breaker list]).
  3. Human Quality Control: Experienced human experts review every data point flagged by the AI. This crucial step ensures the accuracy and reliability of the AI's analysis.
  4. Eligibility Determination: Based on the combined AI analysis and human review, the contract's favorability is assessed. To be eligible for Certification, the contract must:
    • Contain no Deal Breaker clauses.(See here for a complete list of the Deal Breakers).
    • Receive a rating of either "Balanced" or "Customer Favorable" by TermScout.
  5. Certification and Reporting: If the contract meets the eligibility criteria, it is officially Certified by TermScout. The company receives a unique Certified Contract Report, hosted by TermScout, which details the contract's favorability assessment.
  6. Badge Placement and Promotion: The certified company can then place a T Certified Badge directly on their contract. This badge hyperlinks to the hosted Certified Contract Report, allowing potential customers to easily view the contract's favorable rating. This transparency builds trust and ultimately reduces the time required to finalize the contract.

The Benefits of Contract Certification

  • Trust and Confidence: TermScout’s certification badges instill trust in contracts by highlighting customer favorability and can even compare your contract’s terms to competitors'.

  • Transparency: Standardized certification frameworks foster clearer communication between parties, minimizing misunderstandings and disputes.

  • Risk Mitigation: Proactive identification of risks enables legal teams to take preemptive measures, reducing the likelihood of legal disputes.

 Industry Adoption

TermScouts Certified Contracts have gained traction across various industries, thanks to their practical benefits and AI-driven approach. From financial institutions to tech companies and healthcare providers, organizations are integrating TermScout into their contract management practices. By leveraging Certify™, legal departments enhance efficiency, accuracy, and collaboration, setting new standards for contract management in the digital era.

TermScout’s Certified Contracts offer a pragmatic and scalable solution for modern contract management challenges. By harnessing AI technologies, legal professionals can navigate complex legal landscapes with confidence, clarity, and efficiency.
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