Microsoft is launching a new AI agent inside Word that's specifically designed for legal teams. Legal Agent handles document edits, negotiation history, and complex documents to help legal teams handle tasks like reviewing contracts.

"Instead of relying on general AI models to interpret commands, the agent follows structured workflows shaped by real legal practice, managing clearly defined, repeatable tasks like reviewing contracts clause by clause against a playbook," explains Sumit Chauhan, corporate vice president of Microsoft's Office Product Group.

The Legal Agent can work with existing documents that have tracked changes, and analyz …

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