Entailment-Driven Privacy Policy Classification with LLMs
Bhanuka Silva, Dishanika Denipitiyage, Suranga Seneviratne, Anirban Mahanti, Aruna Seneviratne
TL;DR
This work tackles the difficulty users face in understanding privacy policies by introducing an entailment-driven framework that classifies policy paragraphs into 12 user-friendly data-practice labels. The system combines an explained classifier, a blank filler, and an entailment verifier to produce both predictions and human-interpretable reasoning, mitigating LLM hallucinations. Evaluated on the OPP-115 dataset, the full pipeline achieves a macro-F1 of approximately 0.63 and outperforms several language-generation baselines by notable margins, while providing substantially improved explainability (56–58% overlap with legal annotations) compared to embedding-based methods. The approach demonstrates a practical path toward more transparent and user-friendly privacy policy tools, with potential extensions to broader datasets and domain adaptation.
Abstract
While many online services provide privacy policies for end users to read and understand what personal data are being collected, these documents are often lengthy and complicated. As a result, the vast majority of users do not read them at all, leading to data collection under uninformed consent. Several attempts have been made to make privacy policies more user friendly by summarising them, providing automatic annotations or labels for key sections, or by offering chat interfaces to ask specific questions. With recent advances in Large Language Models (LLMs), there is an opportunity to develop more effective tools to parse privacy policies and help users make informed decisions. In this paper, we propose an entailment-driven LLM based framework to classify paragraphs of privacy policies into meaningful labels that are easily understood by users. The results demonstrate that our framework outperforms traditional LLM methods, improving the F1 score in average by 11.2%. Additionally, our framework provides inherently explainable and meaningful predictions.
