Don't Sign That Contract
Without Reading It First

Upload any contract and get instant AI-powered analysis. Our AI helps identify potential risks, explains complex clauses in plain English, and provides educational insights—all in minutes.

Analyze Your First Contract Free No credit card required

Why Clausy?

Protect yourself from unfair contract terms

See how we compare to lawyers and other services →

Spot Red Flags

AI analysis identifies problematic clauses like unfair payment terms and liability traps.

Plain English

Complex legal jargon decoded into simple language you can actually understand.

Negotiation Tips

Receive AI-generated suggestions about common issues to review with your attorney.

Ask Follow-up Questions

Got a specific concern? Ask the AI questions about your contract and compare it to industry standards.

Not Legal Advice: AI-powered educational tool. Always consult a licensed attorney for legal matters.

Featured on Shipit ClausyApp Contact Analysis - AI contract analysis from employment contracts to prenups | Product Hunt

The Scale of the Problem

Government data on why contract literacy matters

30 million

U.S. workers currently bound by a non-compete clause[1]

10.6 million

Independent contractors working in the U.S.[2]

92%

Of civil legal problems faced by low-income Americans go without adequate help[3]

44.6 million

Households in the U.S. are renting their home[4]

How It Works

Three simple steps to safer contracts

1

Upload Your Contract

Drop a PDF, DOCX, or image scan, or paste the contract text. We accept freelance agreements, employment contracts, prenups, NDAs, and more.

2

AI Analysis

Our AI analyzes your contract, calculates risk scores, and highlights potential issues based on common contract patterns.

3

Get Your Report

Receive an AI-generated analysis with potential red flags, clause explanations, and educational suggestions.

4

Ask AI Questions

Got a specific concern? Ask the AI questions about your contract or how it compares to industry standards.

See AI Analysis in Action

See real examples of how our AI analyzes different contract types, identifying risks and explaining complex clauses.

Employment Agreement

AI-powered contract analysis

88
high RISK

Summary

This is an employment contract with multiple severe one-sided provisions heavily favoring the employer. The contract contains excessive restrictions on employee rights, overbroad IP assignment, unreasonable non-compete and non-solicitation clauses, unfair termination terms, and forced arbitration. This agreement presents substantial risk to the employee and should be thoroughly negotiated before signing.

Key Red Flags

high Overbroad Intellectual Property Assignment

Company claims ownership of ALL work product, ideas, and inventions made by employee at any time, including personal projects unrelated to company business and work done outside work hours

high Extremely One-Sided Termination Terms

Company can terminate without cause or notice, but employee must give 60 days notice to resign. This creates severe imbalance in job security

high Excessive Non-Compete Clause

24-month restriction from working in entire technology sector within 100-mile radius is overly broad and may be unenforceable, but will consume years of career opportunities

+ 7 more in full analysis

Negotiation Tips

  • PRIORITY 1 - Address Section 7 (Termination): This is the most critical imbalance. Push for at-will termination with equal notice periods OR severance pay if company terminates without cause. A 60-day notice requirement for you but at-will for them is unacceptable.
  • PRIORITY 2 - Section 4 (IP Assignment): Narrow to work directly related to company business created during work hours. Explicitly carve out personal projects unrelated to company operations.
  • PRIORITY 3 - Section 5 (Non-Compete): This is likely unenforceable in many jurisdictions as written, but reduces your negotiating leverage. Reduce to 6-12 months, limit to direct competitors only, and reduce radius to 10-25 miles around actual office locations.

+ 10 more in full analysis

Freelance Services Agreement

AI-powered contract analysis

95
high RISK

Summary

This is a Freelance Services Agreement heavily skewed in favor of the Client with multiple severe red flags. The contract contains unconscionable terms including unlimited indemnification, vague scope of work, extremely unfavorable payment terms, automatic IP assignment without compensation, overly broad non-compete restrictions, and one-sided termination/liability provisions. This agreement poses substantial financial and professional risk to the Freelancer and should not be signed without significant revisions.

Key Red Flags

high Unlimited Indemnification Clause

Freelancer is liable for ALL claims and damages with no cap or limitation. This is open-ended financial exposure for any potential issue.

high Vague Scope of Work

Services are defined only as 'web development services as requested from time to time' - this is dangerously vague and allows Client to demand unlimited work.

high Excessive Payment Terms

90-day payment period is significantly longer than industry standard (typically net-30). Combined with 'all work must be completed before payment,' this creates severe cash flow burden.

+ 5 more in full analysis

Negotiation Tips

  • DO NOT SIGN THIS AGREEMENT as currently written. Every major clause is unfavorable and several are potentially exploitative. This contract is designed to shift all risk to the Freelancer.
  • Prioritize revisions in this order: (1) Define scope of work with specific deliverables and revision limits, (2) Reduce payment terms to Net-30 or add milestone payments with deposit, (3) Cap and limit indemnification clause, (4) Remove or significantly narrow non-compete, (5) Make termination rights symmetric, (6) Add mutual liability caps.
  • Use industry-standard language: Reference the Freelancers Union model contract or similar standard freelance agreements as negotiation reference points. Client may not realize their terms are far outside market norms.

+ 8 more in full analysis

Non-Disclosure Agreement

AI-powered contract analysis

78
high RISK

Summary

This is a Mutual Non-Disclosure Agreement (NDA) between Company A (Disclosing Party) and Company B (Receiving Party). Despite being labeled 'mutual,' the agreement is heavily one-sided and contains several problematic clauses that disproportionately favor the Disclosing Party and impose severe restrictions on the Receiving Party. The perpetual duration, extremely broad confidentiality definitions, reversed burden of proof, and aggressive IP ownership provisions create substantial legal and business risks for Company B.

Key Red Flags

high Perpetual Confidentiality Obligation with No Expiration

Section 3 imposes indefinite, perpetual obligations on the Receiving Party with no time limit for how long confidential information must be protected. This is unusually broad and potentially unenforceable in many jurisdictions.

high Reversed Burden of Proof

Section 8 shifts the burden to the Receiving Party to prove information is NOT confidential and that developments were independently created. This is the opposite of standard legal practice and puts the Receiving Party at severe disadvantage.

high Automatic IP Ownership Presumption

Section 7 presumes that ANY ideas, inventions, or works created by the Receiving Party during the agreement period and for 2 years after belong exclusively to Company A, regardless of independent development. This is an aggressive and likely unenforceable IP grab.

+ 5 more in full analysis

Negotiation Tips

  • This agreement is NOT truly mutual despite its title. Demand reciprocal provisions that equally protect both parties' confidential information. If Company A won't agree to mutual protection, you should question why they want one-way protection.
  • Section 7's IP ownership presumption is likely unenforceable in most states and is a major red flag. Refuse to sign any language that presumes Company A owns your independent work. Clarify that you retain all rights to work you develop independently.
  • Negotiate a reasonable time limit for confidentiality obligations (typically 3-5 years for most information, longer for trade secrets). Perpetual obligations are unusual and may be unenforceable. Propose: '3 years from disclosure, except for trade secrets which shall be protected as long as they remain trade secrets under applicable law.'

+ 9 more in full analysis

Prenuptial Agreement

AI-powered contract analysis

85
high RISK

Summary

This is a Prenuptial Agreement with extremely problematic provisions heavily favoring Party B. Multiple clauses violate fundamental principles of prenuptial enforceability, create unconscionable terms, and contain coercive language. The agreement lacks essential protections for Party A and contains provisions that courts would likely reject as unenforceable. This document requires immediate legal review and substantial revision before execution.

Key Red Flags

high Waiver of Independent Legal Counsel

Article 8 explicitly states Party A has not obtained independent legal counsel and waives the right to do so. This is a critical enforceability problem that courts view as evidence of duress or unconscionability.

high Blanket Spousal Support Waiver

Article 3 requires waiver of ALL spousal support rights regardless of marriage length or financial circumstances. Courts often strike this as unconscionable if circumstances change dramatically.

high All Income Classified as Separate Property

Article 2 treats all marital earnings as separate property, which contradicts the fundamental nature of community/marital property and may be rejected by courts in most jurisdictions.

+ 6 more in full analysis

Negotiation Tips

  • STOP: Do NOT sign this agreement in its current form. This document has multiple provisions that a court would likely strike as unconscionable, which could leave both parties with expensive litigation.
  • MANDATORY STEP 1: Both Party A and Party B must immediately retain separate, independent family law attorneys in your jurisdiction. The waiver of counsel in Article 8 is itself grounds for invalidating the entire agreement.
  • Require complete financial disclosure from both parties before proceeding. This agreement contains no schedules showing assets, liabilities, income, or financial information—all required for enforceability.

+ 12 more in full analysis

Get the same AI-powered analysis for your contracts

Get Started Free

Supports All Contract Types

📝
Freelance Contracts
💼
Employment Agreements
💍
Prenuptial Agreements
🏠
Rental Leases
🤝
NDAs & More

Frequently Asked Questions

What types of contracts can Clausy analyze?
Clausy analyzes employment agreements, freelance contracts, NDAs, prenuptial agreements, rental leases, and general business contracts. You can upload a PDF or DOCX file, or paste the contract text directly.
Is Clausy a replacement for a lawyer?
No. Clausy provides informational analysis only and does not constitute legal advice. It helps you understand contract language and spot potential red flags, but you should always consult a licensed attorney before making legal decisions.
How does Clausy score contract risk?
Clausy assigns a risk score from 0 to 100 based on the number and severity of problematic clauses identified. A score above 70 indicates significant red flags that warrant close attention.
Is my contract data kept private?
Yes. Uploaded files are deleted immediately after text extraction, and your contract content is never sold or shared with third parties. Only the extracted text and AI analysis are retained in your account.
How long does contract analysis take?
Most contracts are analyzed in under two minutes. Paid subscribers receive priority processing and typically see results faster than free-tier users.

Ready to Protect Your Rights?

Join thousands of people who refuse to sign unfair contracts

Start Your Free Analysis

No credit card • No commitment • 100% confidential

Sources & Research

  1. Federal Trade Commission. "Non-Compete Clause Rule." April 2024. ftc.gov/news-events/news/press-releases/2024/04/ftc-announces-rule-banning-noncompetes
  2. Bureau of Labor Statistics. "Contingent and Alternative Employment Arrangements, May 2017." U.S. Department of Labor, June 2018. bls.gov/news.release/archives/conemp_06072018.htm
  3. Legal Services Corporation. "The Justice Gap: The Unmet Civil Legal Needs of Low-Income Americans." 2022. justicegap.lsc.gov/resource/2022-justice-gap-report/
  4. U.S. Census Bureau. "American Community Survey 5-Year Estimates: Homeowners and Renters." 2019–2023. census.gov/newsroom/press-releases/2024/acs-5-year-homeowners-renters.html

Important Legal Disclaimer

Clausy provides informational analysis only and does not constitute legal advice. Results are generated by artificial intelligence and should not be relied upon as a substitute for consultation with a qualified attorney. Always consult a licensed legal professional before making decisions based on contract terms.