
The Most Common Mistakes in AI-Generated Contracts – And Why You Don’t Notice Them Right Away
“The contract looked perfect. I only realized it was useless when I needed to enforce it.”
Jiří used an AI tool to draft a loan agreement. Everything seemed reasonable. A year later, when trying to recover the loan, it turned out the contract lacked a clear due date and penalty clause. Legally, the contract had no teeth.
What are the most common mistakes in AI-generated contracts, why they’re not obvious at first glance, and how to avoid them – including practical tips and legal insights.
❌ Common AI mistakes you won’t notice immediately:
Formal flaws – missing signature blocks, unclear party identification
Lack of deadlines or penalties – making enforcement difficult
Outdated or overly generic clauses – ignoring current legal developments
Unclear definition of deliverables – no clarity on what’s to be done
Copy-paste content without context – AI generates, but doesn’t understand business reality
⚠️ Why you won’t see the problems right away:
The language looks legal and professional
You don’t know what legal elements are missing
AI won’t tell you what’s not in the contract
A layperson can’t spot missing key clauses
📚 Real-life example:
A business owner used AI to draft a software development agreement. While the contract looked detailed, it completely skipped over intellectual property rights. When the developer left, the business had no rights to the source code – and couldn’t continue using the software.
✅ Lawyer’s recommendation:
AI isn’t a lawyer. The question isn’t what it can write – but what it doesn’t know to include.
Every important contract deserves a review.
It’s better to catch errors early than deal with legal consequences later.
Using AI to create contracts but unsure what might be missing?
Send me your draft – I’ll make sure it includes everything it needs.
Contact a legal professional – I specialize in contract law.
Learn more here.
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- Naposledy aktualizováno: 29/06/2025
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The Most Common Mistakes in AI-Generated Contracts – And Why You Don’t Notice Them Right Away
Print “The contract looked perfect. I only realized it was useless when I needed to enforce it.”Jiří used an AI tool to draft a loan