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How AI Extraction Works

When you upload a contract to Smart Drive, our AI analyzes the document through multiple stages.

Processing Stages

1

Document Analysis

The AI identifies the document type, structure, and key sections.
2

Text Extraction

For PDFs and images, OCR extracts readable text. For Word documents, text is extracted directly.
3

Entity Recognition

The AI identifies parties, companies, addresses, and other named entities.
4

Term Extraction

Contract terms, dates, amounts, percentages, and other key data points are extracted.
5

Validation

Extracted data is validated for consistency and completeness.

Extracted Data Categories

Contract Summary

FieldDescription
Contract TypeRecording, publishing, distribution, etc.
LanguagePrimary language of the document
File DateDate the file was created/uploaded
SummaryAI-generated summary of key terms

Parties & Entities

The AI identifies all parties mentioned in the contract:
  • Party Name - Legal name of the entity
  • Party Type - Label, artist, publisher, distributor, etc.
  • Role - Their role in the agreement
  • Contact Info - Address, email, phone when available

Dates & Duration

FieldDescription
Execution DateWhen the contract was signed
Effective DateWhen terms become active
Term LengthDuration of the agreement
Option PeriodsAny renewal or extension options
Expiration DateWhen the contract ends

Financial Terms

The AI extracts detailed financial information:
  • Advances - Initial and subsequent advance amounts
  • Royalty Rates - Percentages for different revenue types
  • Accounting Periods - Semi-annual, quarterly, etc.
  • Payment Terms - When and how payments are made

Royalty Splits

For each revenue type, the AI captures:
  • Revenue source (streaming, downloads, sync, etc.)
  • Percentage splits between parties
  • Any deductions or recoupable amounts
  • Net receipts definitions

Recordings & Compositions

When contracts reference specific works:
  • Recording titles and ISRCs
  • Composition titles and ISWCs
  • Product commitment requirements
  • Minimum/maximum track counts

Territory & Rights

  • Geographic territories covered
  • Rights granted (mechanical, performance, sync, etc.)
  • Exclusivity terms
  • Sub-licensing permissions

Reviewing Extractions

The Review Interface

When viewing an extracted contract, you’ll see:
  1. Document Preview - The original contract with highlighting
  2. Extracted Data - Organized by category in editable forms
  3. Confidence Indicators - How certain the AI is about each extraction
  4. Source References - Links to relevant sections in the document

Confidence Levels

The AI indicates confidence for each extracted field:
LevelIndicatorMeaning
HighGreenAI is very confident
MediumYellowShould verify
LowRedLikely needs correction

Making Corrections

1

Click on a Field

Click any extracted field to edit it.
2

Make Your Change

Enter the correct value.
3

Save

Your correction is saved and used to improve future extractions.
The AI learns from your corrections. Making corrections improves extraction accuracy for similar contracts in the future.

Extraction Templates

For common contract types, you can use extraction templates that define:
  • Which fields to extract
  • Expected data formats
  • Validation rules
  • Default values

Creating a Template

1

Open Template Settings

Go to DocumentsSettingsExtractors.
2

Create New Template

Click New Template and select the contract type.
3

Configure Fields

Choose which fields to include and set validation rules.
4

Save Template

Save and apply the template to new uploads.

Best Practices

For important agreements, take time to verify all extracted data, especially financial terms.
Making corrections helps the AI improve and ensures accurate data for analysis.
Create templates for contract types you upload frequently.
Ensure parties are correctly matched to existing entities in your CRM.

Retry Extraction

If extraction results are poor, you can retry:
1

Open the Contract

Navigate to the contract in Smart Drive.
2

Click Retry

Use the Retry Extraction option in the actions menu.
3

Select Options

Choose to retry all fields or specific sections.

Next Steps

Custom Views

Learn how to create custom views to organize your contracts.