Organizing due-diligence documents
Legal Professional · Paralegal
“Organizing due-diligence documents” (Legal Professional) is being replaced by AI: it entered in 2022 and is projected to be largely replaced by 2027.
What this task is
In mergers or financings, paralegals sort through large volumes of the target company's contracts, licenses, financial and litigation records, filing them by category and extracting key facts into a due-diligence checklist.
How AI replaces it
Since 2022, document-understanding AI has been able to read entire data rooms, classify files, extract key terms and compile them into tables. By around 2027, sorting and extraction are expected to be done largely by AI agents.
What stays human
Lawyers decide which findings amount to material risks, follow up on missing or questionable documents, and write the diligence conclusions and deal recommendations that clients rely on when deciding whether to proceed.