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AI contract review in Microsoft Word

Reviewing this contract? LexDraft returns tracked-change redlines inside Microsoft Word.Free plan: 5,000 words a month, no credit card.

Install free in Word

LexDraft is an AI contract review and drafting add-in for Microsoft Word, built for US lawyers. Open the contract you were sent, run a review, and get findings graded by risk with proposed edits you accept as native Word tracked changes. There is no upload portal and no second copy of the document to manage: the review happens in the file you will send back.

This page explains how AI contract review works in LexDraft, what it checks, where it falls short, and links to a review guide for each common agreement and clause.

How AI contract review works in Word

  1. Open the contract in Word (Word 365 for Windows and Mac, Word 2021 or Word on the web) and open LexDraft from the Home tab.
  2. Choose the governing state in the panel.
  3. Run the quick checks. They are rule-based, run without AI and finish almost instantly: terms used but never defined, terms defined but never used, cross-references to sections or exhibits that do not exist, and gaps in clause numbering.
  4. Run the review. For an NDA, SaaS MSA, DPA or services agreement, pick the matching built-in playbook. For other contracts, run the review with the state selected.
  5. Work through Critical and High findings first, then the Medium and Low findings that matter to your client.
  6. Accept the redlines you agree with. They become tracked changes, ready to send to the other side.

What the review looks for

  • Risky terms. One-sided indemnities, uncapped liability, broad IP assignments, auto-renewals, unilateral amendment rights and similar clauses that shift risk to your client.
  • Missing terms. Standard protections that are absent, such as a limitation of liability, a confidentiality carve-out or a termination right.
  • State-specific red flags. Points that depend on the governing state, such as non-compete enforceability.
  • Drafting errors. Undefined terms, broken cross-references and inconsistent capitalization of defined terms, caught by the quick checks.

Proposed edits are word-level: LexDraft changes only the words that need to change, so the other side sees a clean, readable markup rather than a rewritten clause.

Review guides by agreement

Review guides by clause

Start with the contract clause review hub, or go straight to a clause:

By practice

Where AI contract review falls short

  • It can miss issues or be wrong. Treat findings as a first pass, and read the contract yourself.
  • It does not know the deal. Your client's leverage, priorities and risk appetite decide which findings matter.
  • It is not legal advice. Qualified counsel must review every draft and redline before use.

Plans and prices

The Free plan needs no card and includes 5,000 generated words a month. Words are counted on what LexDraft writes, not on the text already in your document. Professional is $99 a month or $990 a year for 100,000 words a month. Business is $199 a month or $1,990 a year with unlimited words. See pricing.

Install LexDraft free for Word

Frequently asked questions

What is AI contract review?

AI contract review uses a language model to read a contract, flag risky or missing terms and propose edits. In LexDraft this happens inside Microsoft Word: findings are graded Critical, High, Medium or Low, and proposed changes are word-level edits you accept as tracked changes.

Which contracts can LexDraft review?

Any contract you can open in Word. Built-in playbooks cover NDAs, SaaS MSAs, DPAs and services agreements. For other contracts, such as leases or employment agreements, select the state and run the review for risky clauses, missing standard terms and state-specific red flags.

Does it work under US state law?

Yes. Choose the governing state in the LexDraft panel and the review and Assistant answers follow that state. Qualified counsel must still check every output.

Will the other side see AI comments in my file?

Only what you accept. Accepted redlines appear as normal Word tracked changes.

How much does LexDraft cost?

The Free plan needs no card and includes 5,000 generated words a month. Professional is $99 a month or $990 a year for 100,000 words a month. Business is $199 a month or $1,990 a year with unlimited words.

Does AI contract review replace a lawyer?

No. LexDraft is a drafting and review tool, not legal advice. AI review can miss issues or be wrong, and qualified counsel must review every draft and redline before use.

How do legal teams use AI for contract review?

Common uses are a first-pass review of an incoming contract against the team's playbook or standard positions, flagging missing or unusual clauses, proposing redlines for a lawyer to accept or reject, checking defined terms and cross-references, and summarizing key terms for the business. Larger teams also use platforms that review many contracts at once, for example in due diligence. In every case a lawyer reviews the findings, decides what matters for the deal and signs off. In LexDraft the review runs inside Word, using a built-in playbook (NDA, SaaS MSA, DPA or services agreement) or a general review under the selected state's law, with findings graded by severity and proposed edits you accept as tracked changes.

Will AI replace lawyers?

Not as things stand. Lawyers carry professional duties that software cannot take on: competence, confidentiality, independent judgment, candor to courts and supervision of the work. ABA Formal Opinion 512 (29 July 2024) says lawyers who use generative AI must understand its capabilities and limits, protect client information and review its output, and they stay responsible for the work. AI tools can produce a first draft or a first-pass review faster, but they can be wrong, and a licensed lawyer remains accountable for the advice and the final document. What is changing is how lawyers spend their time: less on routine first drafts and checks, more on judgment, negotiation and counselling clients. LexDraft is a drafting and review tool in Word; it is not a lawyer and does not give legal advice.

Try LexDraft on your next contract

Install LexDraft free from Microsoft AppSource. 5,000 words a month, no card needed.

Install LexDraft free

This guide is general information, not legal advice. LexDraft does not give legal advice; qualified counsel must review every draft. Spotted something out of date? Email support@lexdraft.ai and we will fix it.