Financial institutions back AI law firm with Series C investment

Norm, an AI-native legal startup, closed a $120 million Series C at $1.2 billion valuation on 7 July 2026. Khosla Ventures led the round; notably, asset managers Vanguard, New York Life, and TIAA joined as investors. Unlike typical early-stage VCs, these institutions are themselves large buyers of compliance and legal services. Their participation suggests Norm's model—AI agents supervised by human attorneys, billing by outcome rather than hours—resonates with end users, not just financial backers chasing returns.