legal-risk-assessment-anthropic

Assess legal risk by applying a severity-by-likelihood framework that quantifies contract exposure on a 1-5 scale. This computes a combined risk score, assigns a color rating from GREEN to RED, and determines if escalation to senior counsel is warranted.

A severity-by-likelihood risk matrix is a 1-5 scoring system used to quantify legal risks during deal reviews and governance. It is needed when evaluating potential exposure, such as contract risks reaching 2-3% of deal value, to guide escalation decisions.

Generate a legal risk memo by computing a risk score and color rating, then populating a documentation template. The output memo includes background, risk analysis, mitigations, and a monitoring plan ready for internal records and board updates.

Escalate a contract risk to senior counsel when the severity-by-likelihood assessment outputs a high combined risk score or RED color rating. The framework provides specific escalation guidance based on the quantified potential exposure and deal impact.

Evaluate governance risks without a dedicated legal team by applying this structured severity-by-likelihood framework. It automatically computes a risk classification and suggests recommended actions to support independent escalation decisions.