Negotiations settled within approved fallbacks
A low rate suggests the ladder is too narrow or negotiators are not using it. Review which clauses fall outside most often.
- Break it down by clause.
- Record the approvals sought and granted.
An AI fallback clause agent identifies which clause the counterparty has pushed back on and finds the approved fallback positions held for that clause.
The agent notes a clause the vendor has rejected.
It looks up approved alternatives, in order of preference.
It reads which fallbacks need sign-off.
Fallback wording is shown with when each applies.
The negotiator picks the next position to offer.
The fallback used and who approved it are logged.
It shows them in order, from closest to your standard to the furthest you may go, with the conditions and approvals each needs.
It notes when a requested change goes beyond every approved fallback and needs escalation.
Negotiators under pressure improvise, and an unapproved concession in one contract becomes the expected standard in the next. Knowing exactly how far you may move, and who has to agree, is hard to carry in your head.
The approved fallbacks sit in a playbook that few people open mid-negotiation.
Offering the last fallback first gives up room that cannot be recovered.
A deeper concession may need sign-off from a senior lawyer or finance.
Different negotiators offer different compromises to similar vendors.
Every unlogged concession weakens your position later.
The agent matches the counterparty's markup to the clause in your standard and playbook.
It pulls the approved alternatives for that clause, ranked from the standard to the final position.
For each rung it lists the conditions, such as contract value, and the approval required.
The counterparty's wording is placed against the ladder to show which rung, if any, it matches.
Once the negotiator picks a position, the agent logs it with the reason for later reference.
Bring a small sample and watch Flo work through it.
| Aspect | By hand | With the agent |
|---|---|---|
| Finding a fallback | Negotiators ask legal what they can concede. | Pre-approved fallbacks are offered in order. |
| Authority | Who may approve a concession is unclear. | Sign-off requirements are shown beside each fallback. |
| Consistency | Concessions vary by negotiator. | Everyone draws on the same fallback ladder. |
| Speed | Each concession waits for a legal reply. | Approved fallbacks are used without waiting. |
| Record | Concessions are lost in email. | Each fallback used is logged with its approver. |
| If | Then | Who decides |
|---|---|---|
| Vendor rejects a clause | Show the first fallback | Negotiator |
| First fallback is rejected | Show the next | Negotiator |
| Fallback needs approval | Route to the approver | Legal counsel |
| No fallback remains | Escalate | Procurement lead |
| Fallback conflicts with another clause | Warn | Legal counsel |
| Fallback was already used on this deal | Note the earlier use | Negotiator |
The agent chooses the version that matches the value and shows the threshold. The negotiator confirms the value used.
The text is compared with the ladder and shown as outside it. Legal decides whether to accept.
The agent warns that taking both weakens a related protection. The lawyer decides the combination.
The library owner is told and the fallback is withheld. Legal supplies updated wording.
Talk it through with the team. We will map it to your steps and show where a person stays in control.
Define fallbacks and approvers for the most contested clauses.
Present ladders during live negotiations.
Record each fallback used.
Review the log and adjust ladders with legal.
A low rate suggests the ladder is too narrow or negotiators are not using it. Review which clauses fall outside most often.
Quick answers to what people ask most about fallback clause.
Book a demoIt is pre-approved alternative wording a negotiator may offer if the counterparty will not accept your standard clause. Fallbacks are ordered so you concede step by step.
It finds the approved fallbacks for the clause in dispute, shows them in order, and flags which need extra approval.
No. Your negotiator decides what to offer and speaks with the vendor. The agent supplies the approved options.
It flags that the request is beyond policy and routes it to the approver named in your playbook.
Redline review is the reading of tracked changes a counterparty makes to a draft contract, to understand what has changed and whether each change is acceptable.
→Playbook compliance is the check that a contract draft follows the positions a company has set for each clause, such as acceptable liability caps, governing law or payment terms.
→Clause suggestion is the practice of proposing contract clauses that a draft lacks or states weakly, based on the type of deal and the company's policy.
→Contract risk scoring is the assignment of a rating to a contract based on the terms that expose a company to loss, such as uncapped liability, auto-renewal or weak data protection.
→Bring a small sample of real items. We will show what Flo handles on its own and where it hands over to your team.