Casetext (CoCounsel) has been nominated for the 2026 World AI Awards in the AI Contract Redlining category, recognising its work in applying artificial intelligence to legal document review, contract drafting and negotiation workflows.
Contract redlining is rarely straightforward. Lawyers must identify problematic clauses, compare agreements against internal standards and negotiate changes without overlooking details that could expose clients to legal or financial risks.
CoCounsel, now part of Thomson Reuters, addresses that challenge through generative AI tools designed to help legal professionals analyse agreements, identify deviations and prepare suggested revisions.
The World AI Awards recognises organisations, individuals, products and technologies contributing to the development and practical application of artificial intelligence across industries.
From Casetext to Thomson Reuters CoCounsel
Casetext began developing AI-powered legal research technology before introducing CoCounsel, a generative AI legal assistant, in 2023.
Thomson Reuters acquired the company in August 2023 for $650 million in cash, expanding its investment in AI-assisted legal services.
At the time, Casetext served more than 10,000 law firms and corporate legal departments, according to Thomson Reuters. That figure describes Casetext’s customer base at the acquisition date, not the number currently using CoCounsel’s contract redlining features.
The acquisition helped bring CoCounsel into Thomson Reuters’ wider legal technology portfolio, connecting AI capabilities with established resources including Westlaw and Practical Law.
AI contract redlining moves into Microsoft Word
One of CoCounsel’s most practical applications is reviewing contracts directly inside Microsoft Word.
Thomson Reuters launched CoCounsel Drafting in July 2024, giving legal professionals tools to draft agreements, compare contractual language and identify potential problems without constantly switching between applications.
The software can analyse contracts against predefined legal playbooks containing preferred clauses, negotiation positions and drafting requirements.
When CoCounsel identifies a deviation, it can flag the relevant provision and suggest replacement language.
A liability clause that conflicts with a company’s preferred terms, for example, can be highlighted for review rather than requiring a lawyer to locate every discrepancy manually.
Suggested changes appear within the drafting workflow, where legal professionals can review and manage revisions using Microsoft Word’s Track Changes functionality.
Turning contract playbooks into practical AI guidance
CoCounsel’s contract playbook functionality provides another layer of assistance.
Legal departments can create custom playbooks or use templates and guidance from Practical Law, Thomson Reuters’ legal research and know-how service.
The system compares contract provisions against those standards and categorises identified issues by severity, including high-risk, major and minor issues.
It can also identify missing clauses, recommend alternative wording and provide negotiation guidance.
For legal teams handling large volumes of supplier agreements, service contracts and commercial transactions, this approach offers a way to standardise initial reviews while preserving human oversight.
CoCounsel also supports generating playbooks from existing agreements, extracting clause examples that lawyers can refine for future use.
These capabilities do not eliminate the need for legal judgement. AI-generated redlines still require professional review, particularly when contractual obligations, jurisdiction-specific requirements or commercial negotiations are involved.
Why CoCounsel’s approach matters for legal AI
Contract review involves more than identifying incorrect wording. Lawyers must understand how individual provisions interact and whether proposed changes align with a client’s commercial objectives.
CoCounsel brings AI-assisted drafting, document comparison and legal reference materials into a connected workflow.
Its significance lies in helping legal professionals move through repetitive stages of contract review while maintaining control over final drafting decisions.
The technology also illustrates a broader shift in legal AI, from answering research questions to assisting with specific professional tasks inside the applications lawyers already use.
Graham Cooke, President of the World AI Awards, said:
“Casetext’s nomination in AI Contract Redlining highlights an important opportunity for artificial intelligence in legal services: helping professionals review complex agreements, identify potential issues and manage contractual revisions without removing the legal judgement behind those decisions.
“From comparing contracts against established playbooks to suggesting clause revisions and supporting negotiations, CoCounsel’s work shows how AI can make legal drafting more efficient and consistent. We congratulate Casetext (CoCounsel) on its 2026 World AI Awards nomination and look forward to following how these capabilities continue to develop.”
Casetext (CoCounsel) joins organisations, researchers, entrepreneurs and technology developers being recognised through the 2026 World AI Awards.
The programme celebrates contributions to artificial intelligence across industries, highlighting technologies that address practical challenges in business, professional services and everyday operations.
CoCounsel’s nomination in AI Contract Redlining reflects the growing role of AI in legal workflows. Rather than replacing lawyers, its contract review capabilities aim to reduce repetitive analysis and help professionals concentrate on negotiation, interpretation and decision-making.
Learn more about Casetext (CoCounsel) and its legal AI technology at thomsonreuters.com/en/cocounsel.
Discover the World AI Awards 2026, explore the nominees and learn more about the awards at worldawards.ai.
