LegalOn Technologies has completed a $50 million Series E funding round led by Goldman Sachs, bringing the legal AI specialist’s total capital raised to $200 million as it accelerates development of automated contracting solutions.
The round attracted participation from Growth Equity at Goldman Sachs Alternatives alongside existing backer World Innovation Lab. New investors included Japanese firms Mori Hamada, Mizuho Bank, and Shoko Chukin, reflecting growing institutional confidence in artificial intelligence applications for legal services.
International Expansion Drives Growth
The Tokyo-founded company has demonstrated significant traction across multiple markets since establishing its global presence. Business operations in the United States and United Kingdom expanded fourfold during the previous twelve months, whilst the customer base grew 40% year-over-year to exceed 7,000 organizations.
LegalOn maintains strong market penetration in its home territory, serving a quarter of Japan’s publicly listed companies and 87% of the nation’s Fortune 500 enterprises. The client roster includes 40 companies from the global Fortune 500, indicating international adoption of the platform’s contract analysis capabilities.
AI-Powered Contract Review Technology
Founded in 2017, LegalOn addresses inefficiencies in corporate contracting processes through its Review product, which applies artificial intelligence to identify potential risks and recommend revisions. The system operates using attorney-developed protocols and organization-specific legal standards, reducing contract examination time by up to 85% according to company data.
“Legal teams are buried in time-consuming work that slows them and their businesses down” said Daniel Lewis, Global CEO of LegalOn. The executive emphasized the funding would support AI development efforts designed to eliminate routine contracting tasks.
Goldman Sachs Alternatives’ Stephanie Hui highlighted the company’s approach to combining advanced computational methods with legal expertise. “By combining advanced AI with deep legal expertise, LegalOn is reinventing the contracting process and empowering legal departments to work faster and more strategically” she noted.
Strategic OpenAI Partnership
Alongside the funding announcement, LegalOn revealed a strategic collaboration with OpenAI, the research company behind ChatGPT. The partnership provides access to OpenAI’s language models and API services, enabling enhanced product development capabilities.
Engineering teams from both organisations are working jointly to develop legal AI agents with improved adaptability and intuitive interfaces. The collaboration leverages OpenAI’s contextual understanding capabilities alongside LegalOn’s domain-specific expertise and proprietary legal datasets.
Co-founder and Group CEO Nozomu Tsunoda described the partnership as advancing the company’s core mission. “From day one, we’ve focused on building solutions that help in-house legal teams move faster, reduce risk and drive greater business impact” he explained.
Market Expansion Plans
The fresh capital will fund continued development of what LegalOn terms “agentic AI” products, alongside expanded go-to-market activities. Recent product enhancements include upgraded legal AI tools and expansion into matter management services.
The company plans to release additional AI agents and products throughout the current year, designed to support legal teams across the complete workflow from initial requests through final resolution. These developments build upon existing capabilities whilst extending into new areas of legal operations management.
LegalOn’s growth trajectory reflects broader adoption of artificial intelligence within legal services, as organizations seek to reduce manual processes and improve operational efficiency. The combination of substantial funding and strategic technology partnerships indicates continued investment in automated legal solutions across global markets.