LG Chem takes Luminance AI in latest Cambridge success in Korea

A pioneer in ‘legal-grade’ AI, Luminance is based in Hills Road and is the latest Cambridge company to exploit enormous opportunities for trade in South Korea.

We have reported elsewhere that Pragmatic and Paragraf recently visited Korea to exploit Government-created openings for new contracts there. LG Chem is the first Korean company to adopt ‘Luminance Corporate’, the company’s flagship product.

With 50,000 patents, 20,000 employees and 58 locations worldwide, LG Chem is one of the largest science and chemical companies in the world. The rapidly growing company, which is headquartered in Seoul, has been dealing with high volumes of contracts – including sales and non-disclosure agreements – which require quick turnaround times.

In line with LG Chem’s wider push towards AI integration, the firm’s 50-person legal team sought a next-generation technology that could enhance the negotiation, generation and analysis of these high-volume contracts, while centralising institutional knowledge as the company grows.

After a thorough analysis of the market, LG Chem ultimately chose Luminance for its ability to expedite and enhance every stage of the contract lifecycle. For instance, the company now utilises Luminance’s Traffic Light Analysis functionality which acts like a legal ‘spellchecker’, automatically highlighting risky or non-standard clauses in any incoming contract.

This has allowed the legal team to significantly reduce the time spent negotiating documents such as Supply and Purchase Agreements, instead focusing on business-critical areas of the contract.

Where proposed clauses are not compliant with LG Chem’s internal standards, Luminance’s AI suggests fallback language which is configured from approximately 25 of LG Chem’s uniquely built Knowledge Banks. With Luminance at their fingertips, the team has achieved at least 30 per cent reduction on average time spent on a single contract.

LG Chem has also been taking advantage of Luminance’s award-winning chatbot, Ask Lumi, which allows the legal team to open any contract in Word and receive instant responses to any question in any language, including Korean.

The team can also ‘Ask Lumi’ to redraft clauses on-the-fly or draft an executive summary of any contract, which has proved crucial when answering questions from the wider business.

LG Chem will continue to roll out Luminance’s AI across its European and American partners, creating a centralised system to ensure consistency across the company’s global legal team.

Sue Yang, Vice-President/Head of Department of LG Chem’s Global Legal Department, said: “We are proud to be a company driven by innovation, and it’s clear that Luminance is a best-in-class AI technology for in-house legal teams.

“Luminance helps us drive efficiency across the entire business. By automating the routine yet time-consuming tasks associated with contract generation and negotiation, our legal team is empowered to focus their time on high-value work that will maximise revenue generation and provide business-wide value. With Luminance, our legal team now has a partner in our growth journey.”

Eleanor Lightbody, CEO of Luminance, added: “Luminance is a game-changing technology for any in-house legal team looking to automate routine tasks, turn crucial contract data into digital assets and future proof their business.

“I am particularly excited to welcome LG Chem to the rapidly growing list of companies turning to Luminance’s AI as the first Korean customer to adopt our ‘co-pilot’ product.

“Our partnership marks an exciting time for the legal sector and is a testament to the power of Luminance’s technology to deliver value to organisations of any size working in any language. I very much look forward to seeing the efficiency gains Luminance will deliver to LG Chem’s legal team and the wider business.”

LG Chem has a diversified business portfolio in key areas of petrochemicals, advanced materials and life sciences. The company manufactures a wide range of products from high-value added petrochemicals to renewable plastics, specialising in cutting-edge electronic and battery materials such as cathodes, as well as drugs and vaccines to deliver differentiated solutions for its customers.

Built on a proprietary legal Large Language Model (LLM), Luminance’s specialised legal co-pilot uses next-generation AI to automate the generation, negotiation and analysis of contracts.

Developed by world-leading AI experts, the Luminance technology is validated by leading lawyers and in use by over 600 customers in 60 countries.