When AI simplifies contract review

Christophe Frerebeau.  Source: LinkedIn

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Christophe Frerebeau. Source: LinkedIn

Time spent reviewing a large volume of contracts can be costly.

The Franco-British legaltech Della has understood this challenge: it has developed an artificial intelligence (AI) tool capable of automating this task. This AI constantly learns and improves each time it is used.

Della’s story began when the founder, Christophe Frebeaualmost missed the sale of a business due to a hidden mention in a contract.

The lawyer defines specifications and checklists, on which Della bases himself to carry out the contract review. Most of Della’s competitors rely on clause detection models. The European firm, for its part, uses an approach based on the specific questions of the user. This allows the application to be used in any industry, and in different jurisdictions.

The application can extract the main terms used in contracts, such as identifying what is not in line with the specifications. Potential disputes can thus be identified automatically.

Della’s AI is trained to answer standard M&A and due diligence questions. She is able to analyze an employment contract, a lease, a call for tenders, a loan document, or a franchise agreement.

Legaltech works with law firms, including Fidal, the largest law firm in France, as well as with companies, in Europe and the United States. It reviewed its business model, which was initially generalist. By specializing in contract review, legaltech says it has generated more interest in the market.

The application put on the market in 2020 has just concluded a fundraising of 2.5 million dollars to develop its international presence, notes Artificial Lawyer. It ranks among market players LexCheck and BlackBoiler, which have raised equivalent amounts over the past two years.

In the United States, Della intends to extend its capabilities to specific cases such as assisting in the review of complex franchise agreements.

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