Increasingly complex compliance requirements, strict industry regulation and multi-jurisdictional legislation are driving the need for corporate legal departments to extract an expanding array of key information from large numbers of contracts – Contract Abstraction.
Many corporate legal departments lack the necessary tools, resources and time to undertake such an exercise themselves, so are increasingly driven to outsource these tasks to Legal Process Outsource (LPO) providers. But how do they achieve the end result sought? LPOs typically employ low cost, off-shore resource to undertake the process manually. Allowing sensitive documents off-site is not something many are keen to consider, nor does the process actually happen any quicker.
The business need for an on-premise, technology-driven, automated solution has long been recognised; until now it has not existed.
Introducing Contract Discovery
Before contracts can be managed, the key terms and milestones, or metadata, contained within them must first be identified and understood. And even before this, there is another critical step – Contract Discovery. You cannot manage what you don’t know about.
Most organisations, when undertaking a Contract Discovery project, soon realise that they have far more contracts than they first thought. Finding these manually means a laborious, time consuming and costly exercise; first, checking each document to see if it is contractual in nature; second, abstracting key contract metadata.
Contract Discovery (cDiscovery) automates both the contract location process, searching multiple locations, and metadata abstraction. This all takes place from within the organisation; there’s no need to send electronic or paper documents offsite for processing, with the inherent security risks.
By processing automatically, on premise, this significantly improves the speed, accuracy and efficiency of Contract Abstraction. Abstracted data is made available as it is processed, without the delay necessarily associated with off-site processing. This rapid availability can be critical in time sensitive environments, such as Merger and Acquisition.
Through the use of Contract Discovery and Abstraction technology, the benefits of automation are quickly realised, and are repeatable:
- Fast, automated, predictable levels of performance
- Reduce impact and delays caused by human error
- Repeatable, small changes processed immediately
- Provides comprehensive, searchable database of contracts
- Optionally populate corporate Contract Lifecycle Management Platform
- Highly scalable to meet demand, driven by data volume and a compressed timeframe
- Increase Return on Investment (RoI) with repeated abstraction iterations
Seal Contract Discovery and Contract Abstraction provide the first solution to automate such processes. Find out more at the Seal website: www.seal-software.com