Norm Ai, a startup building AI agents for legal work, raised $120 million in a Series C round led by Khosla Ventures, valuing the company at $1.2 billion, according to a company announcement.
The round brings Norm Ai’s total funding to more than $260 million since it was founded roughly three years ago. Other investors include Bain Capital Ventures, Craft Ventures, Coatue, Vanguard, TIAA, and New York Life, along with individual backers Tony James, former president and chief operating officer of Blackstone, and Jeff Hammes, former chairman of law firm Kirkland & Ellis.
What the company does
Norm Ai operates Norm Law, which it describes as an AI-native law firm: its own AI agents handle legal work under the supervision of human attorneys. The company said clients representing more than $30 trillion in assets under management now use its platform. Unlike traditional law firms, Norm Ai said it charges based on outcomes rather than billable hours.
Founder and CEO John Nay said the company is building agents meant to “align legal services with the client” while keeping AI systems aligned with human values, according to the funding announcement.
Where the money goes
Norm Ai said it will use the new capital to expand hiring, broaden the range of legal practice areas it covers, and develop supervisory AI agents intended to oversee other AI agents working on regulated legal tasks.
The raise adds Norm Ai to a small group of legal AI startups — including Harvey and Legora — that have reached unicorn status as law firms and corporate legal departments turn to AI tools for contract review, compliance, and other document-heavy work.