Why You Should Have a Lawyer Review Your Contract, Even if You Had ChatGPT Start It
———By Attorney Austin Plants at Plants Law Firm
Disclaimer: The content provided in this article is for informational purposes only and does not constitute legal advice. Reading or interacting with this content does not establish an attorney-client relationship. For legal advice specific to your situation, please consult a qualified attorney.
In today’s digital age, artificial intelligence (AI) tools like ChatGPT are making it easier than ever to create basic contracts and legal documents. Whether you need a non-disclosure agreement (NDA), a lease agreement, or even a business contract, AI can generate quick drafts that seem good enough at first glance. However, while ChatGPT and other AI tools can certainly handle the basics, there are important reasons why you should always have a lawyer review the contract before you sign or use it in your business dealings.
1. AI Doesn’t Understand Context
While ChatGPT is a powerful tool that can generate text based on the prompts it’s given, it doesn’t understand the full context of your situation. Contracts often involve nuanced terms that require careful consideration of your specific business, industry, and goals. A contract that might be fine for one business might not protect your interests in the same way. A lawyer, however, will be able to evaluate the specifics of your situation and make sure that the contract accurately reflects your needs.
2. AI Can't Spot Potential Pitfalls
ChatGPT might produce a contract that looks solid at first, but it won’t be able to spot potential legal risks or pitfalls that could cause issues down the road. Legal language is precise, and even small mistakes or omissions can have big consequences. A lawyer can identify clauses that might be problematic, such as terms that could be unenforceable or ones that may expose you to unnecessary liability. They’ll also know how to navigate complex legal language to ensure your contract is airtight.
3. Protecting Your Interests
When you’re dealing with contracts—whether it’s with a business partner, client, vendor, or employee—your interests need to be protected. ChatGPT won’t take the time to ask the right questions about your goals, business strategy, or long-term plans. A lawyer, however, will take the time to understand your business and ensure that the contract safeguards your interests. They can include clauses that reflect your objectives, whether it’s around intellectual property, payment terms, or dispute resolution.
4. Ensuring Compliance with Local Laws
Laws vary from state to state, and federal regulations may apply depending on your business. While ChatGPT can provide general information based on its training, it doesn’t have the capability to ensure that your contract is fully compliant with local laws or industry-specific regulations. A lawyer can review your contract to ensure that it meets all legal requirements and helps you avoid any potential legal issues that could arise from non-compliance.
5. Tailored Advice and Customization
Every business is unique, and every contract needs to reflect that uniqueness. AI-generated contracts are designed to be general templates that can apply to a wide range of scenarios. However, they often lack the customization that a lawyer can provide. A lawyer will ask the right questions, understand your specific needs, and create a contract that’s tailored to your business and your particular situation. This kind of customized advice is invaluable when it comes to protecting your business.
6. Avoiding Future Legal Disputes
Contracts are meant to prevent future disputes, but poorly drafted contracts often become the source of conflicts down the road. If you use a template or a ChatGPT-generated contract without a lawyer’s review, you risk leaving out important terms or adding clauses that are unclear or difficult to enforce. A lawyer can draft language that is clear, precise, and unambiguous, helping you avoid costly legal battles in the future.
7. AI Can’t Provide Legal Advice
One important thing to remember is that ChatGPT, or any AI tool, is not a substitute for a lawyer’s professional legal advice. While AI can generate language and offer suggestions, it can’t provide advice on the implications of different clauses or how they’ll affect your business. A lawyer, on the other hand, will guide you through the process, help you understand what each provision means, and make sure you’re making the best decisions for your business.
Conclusion
ChatGPT and similar AI tools can be helpful for drafting basic contracts, but they are no substitute for professional legal advice. Even though these tools can save you time and provide a starting point, they cannot ensure that your contract is tailored to your specific needs, fully compliant with the law, or capable of protecting your interests.
Before finalizing any contract, it’s always worthwhile to have an attorney double-check the details. A lawyer will help ensure that your contract is clear, comprehensive, and legally sound, giving you peace of mind knowing that your business is properly protected.
