Relativity, a U.S. legal data intelligence firm, has acquired AI contract review and document automation company Gavel. The deal embeds AI-powered document drafting directly into Microsoft Word, linking the evidence analysis lawyers perform in Relativity's platform with the documents they produce.
Integrating AI drafting directly into Word
RelativityOne, the company's flagship platform, lets legal teams collate and analyze digital evidence using AI. Despite that analysis, the output documents - motions, briefs, contracts - remained siloed in Microsoft Word, severed from the data that informed them. Gavel's AI-native drafting and review platform changes that loop. Now, AI-generated content can be edited in Word while staying connected to the original evidence and reasoning.
For lawyers who spend most of their working day inside Microsoft Word, this type of Office Tools integration shrinks the gap between research and final document production. It reduces manual rekeying and helps maintain consistency between analytical findings and written submissions.
Leadership views on the acquisition
Phil Saunders, CEO of Relativity, said the acquisition "enhances our ability to support a wider arc of legal work, in the place where lawyers spend most of their time." He added that the firm continues to invest in AI through Rel Labs, its partnership and startup investment program.
Dorna Moini, founder and CEO of Gavel, said, "Joining Relativity gives us an unrivalled opportunity to scale our shared vision for the industry, build faster and bring our technology to more legal teams." Moini, a former Sidley Austin associate, also founded HelpSelf legal, which helps survivors of domestic abuse navigate the legal system. Gavel launched in 2020.
Relativity's expansion and IPO plans
The acquisition is the firm's first since buying contract review company Heretik four years ago. It also follows the 2021 additions of Text IQ, an AI tool for identifying sensitive data, and data management software company VerQU. In March, Relativity filed a draft registration statement with the SEC for an initial public offering. If the review process completes on schedule, it would be the first legaltech public offering in five years.
The IPO preparations came shortly after a $920 million debt refinancing in January. That included a $200 million revolving credit facility and a $720 million senior secured loan, used to refinance existing debt and provide working capital.
The acquisition and IPO plans signal the expanding role of AI for Legal as law firms and corporate legal departments move these tools from pilot projects into daily practice.
Why this matters for legal professionals
For litigators, transactional lawyers, and in-house counsel, the biggest time drain is often not analysis but translating that analysis into a polished document. By bringing AI-driven drafting directly into Word, Relativity is targeting that exact friction point. If the integration works as intended, lawyers can produce motions, briefs, and contracts without juggling separate systems, while keeping a clear audit trail back to the source evidence. This could lower the risk of factual errors and cut hours spent on document assembly. Competitors may now feel pressure to offer similar Word-integrated workflows.
Your membership also unlocks:
