Risk analysis and scoring

How the risk score is calculated and what the numbers actually mean.

Each clause is scored against typical terms for that document type and jurisdiction, then combined into an overall score from 0 to 100, where higher means more risk to you.

How a clause is scored

A clause is compared against what is standard for that document type in that jurisdiction. A non-compete lasting six months is ordinary in many markets; one lasting five years is not. Deviation from the norm, how one-sided the term is, and how much it would cost you if enforced all feed the score.

Reading the score

Scores from 0 to 33 indicate terms in line with the norm. From 34 to 66 there are terms worth negotiating. Above 66 there are terms that could cost you significantly. The overall score is weighted, not averaged β€” a single severe clause raises the total more than several minor ones.

Limits of the score

The score reflects the text of the document, not your circumstances. A clause that is standard may still be wrong for your situation, and an unusual clause may be one you accepted knowingly. Treat the score as a guide to where to look, not as a verdict.