Top 3 Most Common AI Contract Customizations
ChatGPT vs. DocLegal.ai
Is Free AI for legal templates worth it?
Or does paying $1 for a DocLegal.ai contract give you 10x more protection, clarity, and peace of mind?
As a legal professional, I do use ChatGPT to brainstorm or generate outlines - but using it to generate legal documents ai for my clients is a difficult task.
So, I did a quick test.
I asked ChatGPT to list the most common contract customizations requested by users.
Then I compared how DocLegal.ai, an AI legal document generator that is trained by experienced lawyers, handles the same requests.
Here’s what I found:
- Party Details - Names, addresses, and role (e.g., company vs individual)
This request might look simple but it’s far more complex especially for sophisticated contracts.
For more sophisticated contracts like Shareholder Agreements, party details go beyond filling in blanks. You’re not just entering names—you’re defining roles, relationships, and rights.
For example, whether the agreement is:
- 2 party vs. 3 party agreements
- Pro Majority or Pro minority shareholders
- Neutral agreement
The agreement structure varies depending on your response to these questions. Hence, it is important to select the right starting point.
How DocLegal.ai handles complex legal templates?
DocLegal.ai platform guides you to choose the right template for your requirements. This platform is designed to empower business owners, therefore, no legal knowledge is required to use the platform.
With Doclegal.ai - You Choose, Customise and Download
- Select the template you need with one click
- Doclegal chatbot automatically pulls your saved profile details and inserts them into the contract
- Want to generate a blank template and customize? Generate a blank template and customize it further
For example, if it asks for “Principal Place of Business,” you can click Edit Description, and the AI will adjust the rest of the text dynamically as you make changes.
How ChatGPT Handles it?
While with ChatGPT, you will need to figure it out yourself because:
- You must first understand which clauses and structure the agreement requires, then clearly articulate that in your prompt.
- You’ll need to manually define party roles and enter details line by line.
- The quality of the final document depends heavily on how clear and complete your prompt is.
Hence, legal expertise is essential to create a usable complex agreement on ChatGPT.
2. Payment Terms
Let’s take the example of a Consulting Agreement and see how the two platforms compare.
How does ChatGPT handle it?
3. Fees and Payment
The Client shall pay the Consultant as follows:
- Rate: [e.g., $100/hour] OR Project Fee: [e.g., $3,000 total]
- Payment Schedule: [e.g., 50% upfront, 50% on delivery]
- Method: [e.g., Bank transfer, PayPal, etc.]
Invoices shall be issued [weekly/monthly/upon completion], and payment is due within [e.g., 14] days of invoice date.
Late payments may incur interest of [e.g., 1.5%] per month.
How does DocLegal.ai handle it?
Doclegal.ai Fee and Payment Clause and Schedule 2
Comparison: Let’s compare ChatGPT and DocLegal.ai results:
ChatGPT:
- the provision is not comprehensive
- lacks details on invoicing structure,
- doesn’t include provisions for handling of expenses, commissions, caps.
- Comprehensive and structured clauses.
- Schedule 2 gives the user the flexibility to choose the fee structure : commission or time and material basis.
- The clause language leaves no room for ambiguity.
ChatGPT gives you a starting point for the payment provisions, however, you will need to provide further details to ensure it protects your interest as a client or consultant.
For just $1 per contract, DocLegal.ai gives you bulletproof legal language tailored to your needs—minus the legal bill
3. Termination Clause
The termination clause is not just another boilerplate clause. It provides you the exit strategy especially when things don’t go as planned
Let’s take the Consulting Agreement again and compare ChatGPT and DocLegal.ai results
How does ChatGPT handle it?
7. Termination
Either party may terminate this Agreement with [e.g., 14] days' written notice. Upon termination:
- Consultant shall stop work immediately.
- Client shall pay Consultant for all services performed up to the termination date.
How does DocLegal.ai handle it?
ChatGPT:
- No provisions for termination due to breach or misconduct
- Lacks protection against insolvency or non-performance
- Doesn’t specify what happens to deliverables, documents, or IP upon exit
- Includes "for cause" termination (e.g., non-performance, delay)
- Covers insolvency, receivership, or winding up
- Protects client deliverables and documentation post-termination
- Ensures payment is limited to actual work done, avoiding overpayment
ChatGPT gives you a general clause which requires further amendments, and the quality of these amendments depend on the quality of your prompt
DocLegal.ai gives you detailed legal safeguards that protect your time, money, and deliverables if things go wrong.
Time Taken
ChatGPT Free Template v. DocLegal.ai 1$ Template
DocLegal.ai: 2 minutes
Just select the right template, and your saved profile auto-fills your party details, comprehensive terms and conditions with AI powered customization. Minimal input, no legal experience needed
ChatGPT: 60+ minutes atleast
Requires you to know what type of contract you need, craft a detailed prompt, define party roles, and manually format the output. Expect several rounds of edits. Prior legal knowledge is required.
