Challenges in Managing Legacy and Third-Party Contracts:
Many enterprises today work with large volumes of legacy and third-party contracts that are often paper-based and potentially out of compliance with their current contracting standards. While these contracts may form the foundation of critical business relationships, they can also present serious risks, and are very difficult to manage compared to your own paper.
Common challenges with legacy and third-party contracts include:
- Reviewing contracts without the benefit of automation is labor-intensive and time-consuming
- Legacy and third-party contract clauses cannot be easily compared to standard clauses
- Extracting contract attributes with the correct semantic meaning is very difficult and error-prone
- Important clauses cannot be tracked for deviations during redlining, introducing the risk of overlooking critical changes
- Poor visibility into the inherent contract risks and obligations due to the lack of data centralization