Understanding Contract analysis and review
Contract Analysis is a process of understanding what is within your contracts. The main purpose behind trying to understand the ingredients of any contract is to see what are your organization’s obligations with respect to the contract being analyzed and what are the associated risks for the organization in the event of failing to perform these obligations.

Most organizations prefer to this as Contract Review, and this is most likely performed by either an external legal counsel or using in-house legal teams. The normal contract review process happens either when you are authoring a fresh contract with your customer, supplier, or vendor or when you are accepting a third party paper. In both these cases, the reason for the review is to figure out if any of the contract clauses are deviating from the standard templates and if yes how much are they deviating and if that is reasonably acceptable.

The process of reviewing or analyzing contracts has been a manual task for a long time which involved going over a huge number of documents, understanding large volumes of text to elicit specific information pieces like a date, price, contract value, payment terms, force majeure clause details, etc and this is quite a time consuming, tedious and pricey.