Microsoft puts an AI legal agent inside Word for contract review

Microsoft has launched a Legal Agent in Word for US Frontier users, aimed at helping lawyers review contracts inside a familiar Office workflow.

The tool analyzes agreements clause by clause, flags risks and obligations, compares versions, and suggests tracked edits while preserving formatting.

It can also check documents against internal guidelines and is built around legal workflows with a custom editing algorithm.

Microsoft says the agent works within Microsoft 365 security and compliance controls and requires no extra installation.