The Force Majeure Clause Assessor automatically identifies potential adverse consequences, risks with regard to performance and financial obligations in commercial contracts as a result of the rapid spread of the novel coronavirus (“COVID-19”).
Integrated with data extraction tools such as Kira or Luminance, the Force Majeure Clause Assessor streamlines the review of high volumes of contracts. The tool evaluates the extracted information against a checklist to assess key commercial terms, such as force majeure, applicable laws, termination rights, material adverse changes and liabilities.
An underlying scoring module segments contracts into high, medium and low risk categories to help allocate resources to further assess and renegotiate agreements. As a result, the Force Majeure Clause Assessor determines the commercial risks the parties bear as a direct result of the COVID-19 pandemic and generates a full report outlining individual risk scores, identified key terms and potential adverse consequences.
The tool can also be leveraged to auto-generate tailored draft amendments to further progress the assessment.
The open architecture of the tool allows it to be adjusted easily to include a company’s bespoke COVID-19 checklist and standard fallback clauses.
Its modular logic can easily be edited to accommodate multiple jurisdictions, changing requirements and updated checklists.
Background
Declared to be a pandemic on March 11, 2020 by the World Health Organization, public health concerns with regard to COVID-19 are having a direct and significant impact on the general economy. A key focus for companies, whose people and business relationships are severely impacted by these extraordinary events, is to determine and prepare for the effects COVID-19 related performance issues have on its obligations and commercial contracts. It is crucial for companies to be able to understand their commercial standpoint and act accordingly without delay to ensure commercial risks are minimized. However, navigating through the high volume of commercial contracts and the wide array of rules with regard to force majeure and related terms based on jurisdiction and statutory law is proving difficult.
With BRYTER no-code app builder, law firms and in-house departments can build an automated Force Majeure Clause Assessor that segments affected contracts by risk level and outlines identified clauses, related statutory laws and jurisdiction. The tool’s risk scoring capabilities give the user an overview of the individual risk per contract.
These scores are then written back into existing databases and analysis tools to assess the overall impact and to streamline the review from higher risk to lower risk commercial contracts. As a final output, our risk management software delivers a full risk report and all inputs and results are captured within the tool’s own analytics dashboard. Due to the open architecture of the BRYTER no-code platform, the tool’s modular logic can easily be tailored to specific types of agreements and the company’s review requirements.
Book a demo to find out how BRYTER can help you streamline your services. Or if you’re still researching how to improve your processes, check out our Legal Operations and Workflow Automation guides.
Benefits
Automated & Standardized
The Force Majeure Clause Assessor allows companies to assess high volumes of commercial contracts through a standardized process. This ensures a consistent approach and documentation.
Faster Execution
The Force Majeure Clause Assessor allows for faster assessments and responses to minimize risks. The tool is available 24/7 and streamlines an otherwise time-consuming and manual review.
Centralized audit trail
As part of the tool, the results of the risk assessment are tracked and documented in a centralized audit trail. This allows users to document all identified risks for further processing.
Integrated
The Force Majeure Clause Assessor can easily be integrated into an existing IT infrastructure so that results can be written back into existing databases and analytics tools.
Highly customizable
As every application built on BRYTER is customizable the Force Majeure Clause Assessor may accommodate a company’s unique review requirements and contract types.
How it works
Go through Q&A
Through a customizable and user friendly questionnaire, all relevant information regarding identified key clauses, such as force majeure, governing laws, termination rights, liability terms etc. is gathered and confirmed by the user. The inputs then determine which logic is applied to provide an assessment.
Receive assessment
The tool generates a full assessment report including the individual risk score of a contract along with necessary draft amendments based on the provided information. As the tool is used, a full audit trail is maintained to document and provide proof of any assessments and their results.
Keep up to date
The open architecture of the BRYTER platform allows the application to be updated continuously in the background ensuring that the results are always in-line with the review criteria.