Use case · 2 minutes

How to redline a contract that came back from counterparty

Diff V1 vs V2 in 30 seconds. Material changes flagged, cosmetic ones filtered out.

For: In-house counsel, contract managers, and founders reviewing returned contracts
STEP BY STEP

The workflow

1
Compare the two versions
Drop in V1 (your sent version) and V2 (their returned version). AI Compare identifies every change — additions, deletions, substitutions — and classifies each as cosmetic, material, or critical.
Open Compare PDFs
2
Ask about specific changes
Open Chat with PDF on V2 and ask 'what changed in the indemnification clause?' or 'is the limitation of liability still capped?' Citations point you to the exact page.
Open Chat with PDF
3
Generate a redline summary for your team
Use Summarize → Action Items format to get a list of every changed obligation with severity ratings. Forward this to the deal team — they'll thank you.
Open Summarize PDF
WHY IT MATTERS

The case for doing this

Contract review used to mean Tracking Changes line-by-line in Word. Modern AI compare gives you the diff in under a minute and classifies severity, so the senior reviewer focuses on the 3 material changes instead of the 47 cosmetic ones. The hours saved compound across every deal.

COMMON MISTAKES

What to avoid

Comparing different formatting versions
If V1 was Times New Roman and V2 came back as Calibri, you'll get hundreds of false-positive 'changes' that aren't real. Normalize formatting before comparing.
Trusting the diff for legal certainty
AI Compare is an aid, not authority. For high-stakes contracts (M&A, multi-million-dollar agreements), have a senior lawyer review the diff and the full document.
Skipping the severity filter
If you read every change, you waste time on cosmetic ones. Filter to 'material changes only' for the first pass.
TIPS FOR THE BEST RESULTS

What works

Run on the unsigned versions only
Cryptographic signatures in V1 or V2 add visual noise to the diff. Compare unsigned drafts.
Export redline as DOCX for non-technical reviewers
Senior partners want Word redlines, not PDF redlines. Our export gives you both formats.
Save the diff alongside the contract
When the deal closes, file the diff with the executed agreement. Future you will thank past you when amendment season hits.
FAQ

Questions about this workflow

Yes — but you must run OCR first on both. Without text layers, the comparison has no content to compare.

Try the workflow on a real PDF

Free tools run in your browser. No signup, no watermarks.

Start with step 1
Customize