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AI Meets Legal: How We Used Chat GPT to Auto-Edit a SaaS Contract Inside Our Own Product

Embedded AI Example #2: Autogenerate Contract Redlines

What if your SaaS platform could not only store contracts—but edit them for you too?

In this post, we’ll walk through a hands-on demo where we used a lightweight SaaS contract, dropped it into our product (RocketClaims), and had AI automatically make legal modifications—from payment terms to indemnification clauses.

No outside software. No law degree. Just smart automation.

Step 1: Start with a Simple SaaS Agreement

We began with a basic software agreement between two hypothetical companies—Salesforce and Entergy.

It was intentionally lean:

  • No redlines
  • No legal clutter
  • Just standard terms for software usage, payment, indemnity, and governing law

This clean starting point gave us a clear view of how AI would modify specific sections of the agreement.

Step 2: Upload the Contract into RocketClaims

Although RocketClaims is known for claims management, we thought:

Why not embed an AI contract editing feature into the system we already have?

So we:

  • Clicked Add New
  • Uploaded the contract file
  • Hit Process

Yes, this is a basic flow today—but in the future, we imagine removing the “Process” step entirely and letting edits happen instantly. That step remains for now in case we later allow:

  • Custom prompt editing
  • Version control
  • Advanced reprocessing logic

Step 3: Download the Output (and See What Changed)

Once processed, we downloaded the new version of the contract—and here’s where things got interesting:

Payment Terms Updated
The AI changed the payment dates as requested but preserved the original values for reference.

✅ Indemnification Clause Rewritten
It adjusted the responsibility between parties, attempting to flip the original terms.

✅ Insurance Requirements Modified
We specified that the vendor should carry $5M in insurance. The AI added that requirement.

✅ Governing Law Updated
We asked for Louisiana to be the governing state. Done.

Was it perfect? No. The language in some areas still needed refinement. But…

The Key Takeaway: It Works—And It’s Evolving

This was a quick demo. But it shows that:

  • AI can handle basic contract edits reliably
  • You can embed these capabilities within your own SaaS
  • You’ll soon be able to layer intelligence like:
    • Suggested changes for unrecognized clauses
    • Tiered redlining levels (aggressive, moderate, light)
    • Role-specific editing (legal, sales, procurement)

It’s not hard to imagine a future where contracts:

  • Write and revise themselves based on input templates
  • Prompt users when something’s missing
  • Flag risky language in real-time

Final Thought: SaaS Isn’t Just Software Anymore—It’s Smartware

What started as a claims platform is now evolving into something more powerful—an intelligent system that helps businesses operate, negotiate, and comply more efficiently.

If you’re building software for B2B workflows, ask yourself:

How can AI help my users not just manage documents, but improve them?

Because contracts are just the beginning.

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