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Contract red-flag checker

Spot contract clauses to slow down on before you sign.

Clara helps turn dense contract language into a plain-language summary, a red-flag checklist, and better questions for a lawyer or other qualified professional.

Updated July 2026

Reviewed by Tell Me Clara product safety guidelines

What is an AI contract red-flag checker?

An AI contract red-flag checker helps you read a contract more clearly before you agree to it. Tell Me Clara can summarize obligations, pull out key dates and money terms, highlight clauses that deserve attention, and suggest questions to ask next. Clara is informational software, not a lawyer, and it does not provide legal advice. Use Clara to prepare, then verify decisions with a qualified professional in your jurisdiction.

Contract questions Clara can help organize

  • What are the key payment amounts, timing, and fees?
  • Does the contract auto-renew or lock me into a term?
  • What happens if I need to cancel or terminate early?
  • Are there penalties, liquidated damages, or broad late fees?
  • Does it limit disputes (arbitration, venue, class action waiver)?
  • Who is responsible for damages, liability, or indemnification?
  • Who owns work output or intellectual property after signing?
  • What data can be shared, and what privacy/security promises exist?

Plain-language summary

A readable overview of what the contract is and what it asks you to do.

Key dates and money terms

Amounts, renewal timing, termination windows, and fees when shown.

Clause notes

A structured checklist of sections that may deserve extra attention.

Questions to ask

Practical prompts for a lawyer or other qualified professional.

Worked example: an automatic renewal clause

This fictional clause shows the kind of reading aid Clara can provide. It is not a legal conclusion or a prediction about whether a clause is enforceable.

Fictional contract excerpt

This agreement renews for another 12-month term unless the customer gives written notice at least 60 days before the current term ends. Fees may increase by up to 8% at renewal.

Plain-language reading

The agreement may continue for another year unless notice is sent early enough. The quoted language also allows a fee increase when the new term begins.

Details to verify

  • The exact date the current term ends
  • Where and how written notice must be delivered
  • Whether another section changes the renewal or cancellation rules
  • What the renewed price would be

Question to take to a qualified professional

How do the renewal, notice, and fee-change terms apply to my full agreement and circumstances?

What Clara does not do

Clara does not tell you whether a contract is fair, legal, enforceable, or the right choice for your situation. Contract outcomes depend on local law and the full context. Use Clara to understand the language, then confirm high-impact decisions with someone qualified.

Contract checker FAQ

Can Clara tell me if a clause is legal or enforceable?

No. Clara can explain language and flag questions, but legality and enforceability depend on local law and your facts.

Is Clara a replacement for a lawyer?

No. Clara helps you prepare for a better conversation, but professionals should handle legal strategy and decisions.

What kinds of contracts can I upload?

Common examples include service agreements, rental documents, offers, NDAs, policies, and other written terms you need to understand before agreeing.