DeepSeek vs Gemini vs Grok: Contract Review

Prompt

Contract review - what to look for before signing

DeepSeekDeepSeek

Contract review - what to look for before signing

Of course. Reviewing a contract is a critical skill, whether you're an individual, a small business owner, or part of a large corporation. Signing a contract without understanding it can lead to significant financial loss, legal disputes, and unwanted obligations.

Here is a comprehensive guide on what to look for before you sign, broken down into a step-by-step process and key clause analysis.

The Golden Rule of Contract Review

If you don't understand it, don't sign it. Always seek professional legal advice for high-value, complex, or high-risk agreements. This guide is for informational purposes and is not a substitute for legal counsel.

Step 1: The Big Picture & Fundamental Questions

Before diving into the legalese, start with the fundamentals.

Who are the Parties?

Are the legal names and addresses correct?

Are you sure the entity you're contracting with is legitimate and has the authority to enter the agreement?

What is the Core Purpose?

In one sentence, what is this contract meant to achieve? Does the document accurately reflect that understanding?

Does it cover the entire scope of your verbal agreement? If not, it needs to be revised.

What are the Key Obligations?

What exactly are you required to do? (e.g., deliver a software build, pay $X, provide consulting services).

What exactly is the other party required to do? Be specific.

Step 2: The "Devil in the Details" - Key Clauses to Scrutinize

This is the core of the contract review. Pay close attention to these common clauses.

1. Payment Terms

Amount and Schedule: Is the price, rate, or fee clearly stated? When is payment due? (e.g., upon signing, upon completion, net 30, 50% upfront).

Expenses: Who pays for expenses? Are they capped? Do they require pre-approval?

Late Fees: Are there penalties for late payment? Are they reasonable and enforceable in your jurisdiction?

2. Term and Termination

Duration: How long does the contract last? (e.g., one year, month-to-month, until project completion).

Renewal: Does it auto-renew? If so, what is the notice period to stop renewal? (e.g., "30 days written notice prior to the anniversary date").

Termination for Cause: Under what conditions can either party terminate the contract? (e.g., breach of contract, insolvency). Is there a "cure period" to fix a breach before termination?

Termination for Convenience: Can you terminate the contract for any reason? This is a valuable clause to have, often requiring a 30-90 day notice.

3. Scope of Work / Deliverables

Specificity: This should be extremely detailed, often in an appendix or Statement of Work (SOW). Vague language like "provide marketing services" is a red flag.

Timeline: Are there specific deadlines and milestones? Are they realistic?

Change Process: Is there a procedure for changing the scope? (A formal "Change Order" process prevents "scope creep").

4. Confidentiality Clause

Definition: What information is considered "confidential"? Is it too broad?

Duration: How long does the confidentiality obligation last? (2-5 years is common; "in perpetuity" is very restrictive).

Exclusions: Does it allow for information that is publicly available or already known to you?

5. Intellectual Property (IP) Ownership

This is crucial for service, creative, and software contracts.

Who owns what? If you are hiring a developer to create software for you, you must have a clause stating that you own the "work for hire." Without it, they may retain ownership.

Background IP: Ensure the contract states that each party retains ownership of the IP they brought into the project.

Licenses: If you're granting a license to use your IP, is it exclusive? What is the scope, territory, and duration?

6. Indemnification

This is a risk-shifting clause. It means one party agrees to pay for the other party's losses, damages, or legal costs if a specific thing goes wrong.

Example: "Client shall indemnify Contractor against any claims arising from content provided by Client."

Look for: Is it mutual (both ways) or one-sided? Is the scope of what you're indemnifying them for fair and within your control?

7. Limitation of Liability

This clause caps the amount of money one party can be sued for.

Look for: The cap is often related to the contract value (e.g., "liability shall not exceed the fees paid in the 12 months preceding the claim").

Watch out for: Clauses that completely exclude "consequential, indirect, or punitive damages" (e.g., lost profits). This is standard but important to note, as it significantly limits your potential recovery.

8. Warranties and Representations

These are promises of fact.

Example: "Each party warrants that it has the power to enter this agreement." "The Contractor warrants that its work will be free from defects for one year."

Look for: What specific promises are being made? Are they true?

9. Boilerplate Clauses (They Matter!)

Governing Law & Jurisdiction: Which state/country's laws will govern the contract? Where will lawsuits be filed? Try to have this in your home jurisdiction.

Dispute Resolution: Does it require mediation or arbitration before a lawsuit? Arbitration can be faster and cheaper but may limit your rights.

Assignment: Can the other party transfer the contract to another company (e.g., if they are acquired) without your consent? It's better to require "written consent not to be unreasonably withheld."

Entire Agreement (Merger Clause): This states that the written contract is the entire agreement, superseding all previous discussions. This is why you must get every promise in writing.

10. Signatures

Authority: Is the person signing on behalf of the other company authorized to do so? For corporations, this is typically a Director or Officer.

Step 3: Practical Checklist & Action Plan

[ ] Read it. All of it. No skipping the boring parts.

[ ] Mark it up. Use a red pen or "Track Changes." Note any questions, unclear sections, or points of negotiation.

[ ] Fill in ALL blanks. Do not leave any blanks (e.g., dates, amounts, percentages). Draw lines through blanks that are not used.

[ ] Verify Appendices & Exhibits. Ensure all referenced documents (SOWs, specifications, etc.) are attached and correct.

[ ] Negotiate. A contract is often a starting point for negotiation. Prioritize your "must-haves" vs. "nice-to-haves."

[ ] Get it in Writing. All final agreements and clarifications must be reflected in the final, signed document.

[ ] Keep a Signed Copy. Store a fully executed (signed by all parties) copy in a safe place.

When to Absolutely Hire a Lawyer

You should strongly consider hiring a lawyer for:

High-stakes agreements (large sums of money, long-term commitments).

Contracts that create significant liability or risk.

Complex agreements involving intellectual property, joint ventures, or real estate.

Any contract you fundamentally do not understand.

By following this structured approach, you can confidently review contracts, identify potential risks, and ensure the agreement you sign truly reflects your understanding and protects your interests.

22:46

GeminiGoogle

Contract review - what to look for before signing

Okay, let's break down what to look for before signing a contract. This is a crucial step to protect your interests and avoid future headaches. I'll cover the key areas and provide a checklist approach.

I. Understanding the Basics

Read the Entire Document: This seems obvious, but it's the most important step. Don't skim. Read every word, including the fine print, attachments, and exhibits.

Don't Be Afraid to Ask Questions: If you don't understand something, ask for clarification. It's better to ask upfront than to regret it later. Get the answers in writing if possible.

Never Assume: Don't assume something is included if it's not explicitly stated in the contract.

Seek Legal Advice (Highly Recommended): For any significant contract (financial, business, real estate, etc.), it's always a good idea to have an attorney review it. They can identify potential problems you might miss and advise you on how to negotiate better terms. This is an investment that can save you a lot of money and stress in the long run.

II. Key Areas to Review and a Checklist Approach

Here's a breakdown of the essential elements, framed as questions you should be asking yourself as you read the contract.

1. Parties Involved:

Who are the parties? Are the names and addresses of all parties (individuals or companies) accurate and complete?

Are you contracting with the right entity? If it's a business, verify its legal structure (e.g., LLC, corporation) and that the person signing has the authority to bind the company.

2. Scope of Work/Services/Goods:

What exactly is being provided? Is there a clear and detailed description of the goods, services, or work to be performed? Avoid vague language.

Are there specifications or standards? Are there specific requirements, quality standards, or performance metrics that must be met? If so, are they clearly defined?

**What is not included?** It's often helpful to clarify what is not part of the agreement to avoid misunderstandings.

Timeline/Schedule: Are there deadlines or milestones? Are they realistic and achievable? What happens if deadlines are missed?

3. Payment Terms:

How much will it cost? Is the price clearly stated? Is it a fixed price, hourly rate, or some other arrangement?

When is payment due? What is the payment schedule (e.g., upfront, monthly, upon completion)?

What are the acceptable methods of payment?

Are there late payment penalties or interest charges? What are the consequences of not paying on time?

Are there any other fees or expenses? Are there hidden costs, such as travel expenses, materials, or taxes?

What happens if the scope of work changes? Is there a process for handling change orders and adjusting the price?

4. Term and Termination:

How long does the contract last? What is the start date and end date (if applicable)? Is it a fixed term or an ongoing agreement?

How can the contract be terminated? What are the grounds for termination by either party (e.g., breach of contract, convenience)?

What are the consequences of termination? What happens to payments already made? Are there any penalties for early termination?

Is there a renewal clause? Does the contract automatically renew? If so, what are the terms of renewal?

Notice Period: How much notice is required to terminate the agreement?

5. Intellectual Property (if applicable):

Who owns the intellectual property? Who owns the copyright, trademarks, patents, or other intellectual property created during the contract? Is it assigned to one party or jointly owned?

Are there licensing provisions? Does one party grant the other a license to use its intellectual property? What are the terms of the license?

Confidentiality: Are there clauses protecting confidential information?

6. Confidentiality and Data Protection:

What information is considered confidential? Be specific about what constitutes confidential information.

How will confidential information be protected? Are there security measures in place to prevent unauthorized disclosure?

What happens to confidential information upon termination?

Data privacy: Does the contract comply with applicable data privacy laws (e.g., GDPR, CCPA)?

7. Liability and Indemnification:

Who is responsible for what? What are the responsibilities of each party?

What are the limitations of liability? Does the contract limit the amount of damages that one party can recover from the other?

Indemnification: Does one party agree to indemnify (protect) the other from certain losses or claims? This is a crucial clause that should be carefully reviewed. Understand the scope of the indemnity.

8. Warranties (if applicable):

What warranties are being provided? Does the seller guarantee the quality of the goods or services?

What is the duration of the warranty? How long does the warranty last?

What are the remedies for breach of warranty? What can the buyer do if the goods or services are defective?

Are there any disclaimers of warranties? Does the contract exclude any implied warranties?

9. Dispute Resolution:

How will disputes be resolved? Will disputes be resolved through negotiation, mediation, arbitration, or litigation?

What is the governing law? Which state's or country's laws will govern the contract?

What is the venue for disputes? Where will lawsuits be filed?

Are there any provisions for attorneys' fees? Will the losing party be required to pay the winning party's attorneys' fees?

10. Force Majeure:

What events are considered "force majeure"? These are events beyond the control of the parties (e.g., natural disasters, war, terrorism) that may excuse performance.

What happens if a force majeure event occurs? Does the contract suspend performance, terminate the contract, or provide some other remedy?

11. Assignment:

Can the contract be assigned to another party? Can one party transfer its rights and obligations under the contract to someone else?

Does assignment require consent? Does the other party have to approve the assignment?

12. Entire Agreement (Integration Clause):

Does the contract state that it is the entire agreement between the parties? This clause prevents parties from relying on prior agreements or representations that are not included in the contract. Make sure everything you've agreed to is in the contract.

III. Before You Sign: A Final Checklist

[ ] I have read the entire contract carefully.

[ ] I understand all the terms and conditions.

[ ] All blanks are filled in, and there are no unanswered questions.

[ ] All attachments and exhibits are included and reviewed.

[ ] The contract accurately reflects our agreement.

[ ] I have sought legal advice (if necessary/recommended).

[ ] I am comfortable with the risks and obligations.

[ ] I have kept a copy of the contract for my records.

IV. Negotiation Tips

Don't be afraid to negotiate. Most contracts are negotiable.

Identify your priorities. What are the most important terms to you?

Be clear and specific about your needs.

Get everything in writing. Oral agreements are difficult to enforce.

Consider your bargaining power. How much leverage do you have?

Be willing to walk away. If the terms are unacceptable, it's better to walk away than to sign a bad deal.

V. Red Flags to Watch Out For

Vague or ambiguous language.

Terms that are heavily weighted in favor of the other party.

Excessive limitations of liability.

Unclear payment terms.

Automatic renewal clauses that you don't want.

Clauses that you don't understand.

Pressure to sign quickly without adequate time to review.

By carefully reviewing these areas and asking the right questions, you can protect yourself and make informed decisions before signing any contract. Remember, prevention is always better (and cheaper) than cure! Good luck!

22:46

GrokxAI

Contract review - what to look for before signing

Reviewing a contract before signing is a critical step to ensure that you fully understand the terms, obligations, and potential risks involved. A thorough contract review can help you avoid misunderstandings, legal disputes, or unfavorable commitments. Below is a detailed guide on what to look for when reviewing a contract:

1. Understand the Purpose and Scope of the Contract

What is the contract for? Ensure the contract clearly defines its purpose (e.g., purchase, service agreement, employment, lease, etc.).

Does it cover everything discussed? Compare the contract to any prior verbal or written agreements. If something is missing or different, address it before signing.

Parties involved: Confirm that all parties (individuals or entities) are correctly identified with their legal names, addresses, and contact details.

2. Key Terms and Conditions

Obligations and Responsibilities: Understand what you are agreeing to do and what the other party is obligated to do. Look for specific deliverables, timelines, and performance standards.

Payment Terms: If applicable, review the amount, method, and timing of payments. Look for penalties for late payments or incentives for early payments.

Duration and Termination: Check the start and end dates of the contract. Understand how the contract can be terminated (e.g., notice period, termination fees, or conditions for early termination).

Renewal Clauses: Look for automatic renewal provisions. Are you okay with the contract extending without explicit consent?

3. Rights and Ownership

Intellectual Property (IP): If the contract involves creative work, software, or inventions, clarify who owns the IP rights. Ensure you’re not unknowingly transferring ownership of your work.

Confidentiality: Look for non-disclosure agreements (NDAs) or confidentiality clauses to protect sensitive information. Ensure they are fair and reciprocal if applicable.

Exclusivity: Check if the contract restricts you from working with others or engaging in similar activities. Exclusivity clauses can limit your freedom.

4. Risk Allocation and Liability

Indemnification: Check clauses that protect one party from legal claims or losses caused by the other. Ensure the indemnification terms are reasonable and not overly one-sided.

Limitation of Liability: Look for caps on damages or disclaimers of certain liabilities. Be aware of what risks you’re accepting.

Warranties and Guarantees: Understand what assurances are being made about products, services, or performance. Are there disclaimers that void these warranties?

Insurance Requirements: Check if you’re required to maintain specific types or levels of insurance during the contract term.

5. Dispute Resolution and Governing Law

Dispute Resolution: Look for clauses on how disputes will be handled (e.g., mediation, arbitration, or litigation). Arbitration clauses may limit your right to sue in court.

Governing Law: Identify which state or country’s laws will apply to the contract. This can impact how disputes are resolved and what rights you have.

Venue/Jurisdiction: Check where legal actions must be filed. A venue far away from you could be inconvenient or costly.

6. Penalties and Consequences

Breach of Contract: Understand what constitutes a breach and the consequences (e.g., financial penalties, termination, or legal action).

Force Majeure: Look for clauses that excuse performance due to unforeseen events (e.g., natural disasters, pandemics). Ensure these are clearly defined and fair.

Late or Non-Performance Penalties: Check for penalties if deadlines or obligations are not met. Are they reasonable?

7. Hidden or Unfavorable Clauses

Non-Compete Clauses: If present, ensure restrictions on future work or business activities are reasonable in scope, duration, and geography.

Automatic Renewals or Evergreen Clauses: These can lock you into a contract longer than intended. Look for opt-out provisions.

Unilateral Amendments: Beware of clauses allowing the other party to change terms without your consent.

Waivers: Ensure the contract doesn’t waive important rights (e.g., right to sue for certain damages).

8. Clarity and Ambiguity

Clear Language: Ensure the contract is written in plain, understandable language. If terms are vague or confusing, seek clarification or rewording.

Defined Terms: Check that key terms are clearly defined (e.g., “services,” “deliverables,” or “confidential information”).

Internal Consistency: Look for contradictions or inconsistencies between different sections of the contract.

9. Appendices, Exhibits, and Referenced Documents

Attachments: Review any schedules, appendices, or exhibits attached to the contract. They are often legally binding and may contain critical details (e.g., pricing schedules, scope of work).

Referenced Policies or Terms: If the contract refers to external policies (e.g., terms of service, employee handbooks), request and review those documents.

10. Exit Strategy

Termination Rights: Understand how and under what conditions you can exit the contract. Are there fees or penalties for ending it early?

Post-Termination Obligations: Check for ongoing responsibilities after the contract ends (e.g., confidentiality, non-compete, or return of property).

11. Seek Professional Help

Legal Advice: If the contract is complex, involves significant money, or has long-term implications, consult a lawyer to review it. They can spot issues you might miss and help negotiate better terms.

Industry Experts: For specialized contracts (e.g., construction, tech, or real estate), consider consulting someone with industry-specific knowledge.

12. Negotiation Opportunities

Unfair Terms: If any terms seem unreasonable or overly favorable to the other party, don’t hesitate to negotiate. Contracts are often drafted to benefit the party who wrote them.

Clarifications: Request written clarification for ambiguous terms or addendums to address missing points.

Strikeout/Additions: If allowed, strike out unfavorable terms and add provisions that protect your interests (with mutual agreement).

13. Final Checks Before Signing

Read Every Page: Don’t skip over “boilerplate” language or fine print. These sections often contain critical clauses.

Confirm Dates and Signatures: Ensure all dates are accurate, and don’t sign until all parties have agreed to the final version.

Keep a Copy: Retain a fully executed copy of the contract (signed by all parties) for your records.

Understand Consequences: Be confident that you can fulfill your obligations and are comfortable with the risks.

Red Flags to Watch For

Pressure to sign quickly without adequate review time.

Verbal promises not reflected in the written contract.

Missing or incomplete sections (e.g., blank spaces for key terms).

One-sided terms that heavily favor the other party.

Clauses that seem overly restrictive or punitive.

By carefully reviewing a contract with these considerations in mind, you can protect your interests and ensure a fair agreement. If you’re unsure about any aspect, don’t hesitate to seek professional guidance before signing.

22:46

Analysis

This comparison demonstrates the different approaches each AI model takes when responding to the same prompt. Here are the key differences observed:

Response Characteristics

DeepSeek: Provides a direct response with 141 sentences.

Gemini: Provides a direct response with 157 sentences.

Grok: Provides a direct response with 112 sentences.

Key Takeaways

Each model brings unique strengths to this type of query
Response styles vary significantly between models
Consider your specific use case when choosing between these models

Try This Comparison Yourself

Want to test these models with your own prompts? Visit SNEOS.com to compare AI responses side-by-side in real-time.

This comparison was generated using the SNEOS AI Comparison ToolPublished: September 30, 2025 | Models: DeepSeek, Gemini, Grok