How to write a contract using ChatGPT (UK): five steps and the legal checks to make

Can you write a contract using ChatGPT? Yes, and it can get you a usable first draft quickly. What it cannot do is guarantee that the result is legally binding under UK law. Below is the five-step process I use, with the checks at the end that make the difference between a document that looks like a contract and one that actually protects you. A free prompt template and step-by-step guide go with this article.

Fill in the ChatGPT contract prompt

The process has five main steps. The first is to complete the prompt template, which I call document A. I have done two things to make this as easy as possible: the process is laid out step by step, and the template and guide are free to download so you have everything you need to complete it.

The template is written with square brackets where you need to input your specific information. For example, the first thing you fill in is the name of the contract you want ChatGPT to draft for you, such as a consultancy agreement or a supply of services agreement. Work through the rest of the brackets in the same way, adding the parties, company numbers and what is actually being delivered under the contract. The more specific you are here, the better the draft will be, because the model can only work with what you give it. A vague prompt produces a vague contract, and a vague contract is exactly the kind of document that causes problems later.

Use a custom GPT for UK contracts

Step two is to open the custom GPT I created for this purpose. I have tried to give it instructions so that it drafts a contract as well as it possibly can, with English law in mind rather than a generic template pulled from anywhere on the internet.

You do not have to use my GPT, but a general chatbot with no instructions will often produce something that reads like a contract from another jurisdiction, with terminology and assumptions that do not fit UK law. A GPT set up for UK contracts narrows that risk.

Run the prompt in ChatGPT

Step three is simple. Copy the prompt you completed in document A, paste it into the GPT and press enter or send the message. ChatGPT will then produce a contract according to your requests. Depending on how much detail you gave it, the output will be a full draft with numbered clauses and, usually, a set of defined terms.

I deliberately do not complete the prompt on screen, because I do not want to influence your answers. The point of the template is that the contract reflects your situation, not an example I made up.

Is your ChatGPT contract legally binding?

Step four is where the real work starts: checking the result. Do not assume that because the output is long and confident it is correct. Three checks matter.

• Does it meet your requirements? Read it through and ask whether you are actually happy with it. Does it cover the services, the payment and the other points you put in the prompt, and does it say what you want it to say? If something is missing or wrong, go back and adjust the prompt rather than patching the output by hand.
• Are the numbering and defined terms correct? Check that the clause numbering is right and consistent, because cross-references to the wrong clause cause real confusion. Then look at whether any defined terms have been used, and whether those definitions are suitable for you and your business. AI drafts often define a term one way and then use it loosely elsewhere.
• Is it legally binding under UK law? This is the most important check. A contract drafted by AI still has to meet the requirements of a legally binding contract, and it still has to comply with the law. Some of the things to consider are the Unfair Contract Terms Act and similar rules that can make clauses unenforceable. A clause that looks strong on paper is worth nothing if a court would strike it out.

If you want to understand the requirements in more detail, read what makes a contract legally binding, which goes through the elements a court will look for.

There is a wider point here too. If you understand how a commercial lawyer approaches drafting, you will write a better prompt and spot more problems in the output. The questions to ask before you draft, and the tips on obligations and definitions, are covered in how to write a contract like a commercial lawyer.

Get the AI contract reviewed by a solicitor

Ideally, step five is to get the contract reviewed by a qualified solicitor. My practice provides this as a service, and in my experience it is the step that catches the problems a non-lawyer would not spot.

I also understand that not everyone has the money to spend on a solicitor reviewing their contract. If that is you, the minimum is to learn what makes a contract legally binding and check your draft against those principles yourself. It is not a substitute for a professional review, but it is a lot better than signing whatever the model produced. And if the contract is for a significant deal, or you will be using it with many customers, the cost of a review is small compared with the cost of a contract that fails when you need it.

Next steps

Complete the prompt template carefully, run it through a GPT set up for UK contracts, and then go through the three checks: your requirements, the numbering and definitions, and whether the document is legally binding. If the contract matters to your business, have a commercial solicitor review it before anyone signs.