Nyayanidhi Secures $2M Seed Funding to Disrupt India’s Litigation Landscape

In the vast world of legal technology, where complexity often clouds progress, a Bengaluru-based startup is bringing a fresh approach to an industry that’s overdue for transformation. Nyayanidhi, a company aiming to digitise and streamline India’s litigation processes, has secured $2 million in seed funding, led by 3one4 Capital. This funding round, with participation from DeVC, PeerCheque, Force Ventures, and angel investors including Nishchay Ag (co-founder of Jar), marks a significant step in the company’s mission to automate and modernise legal workflows across the country.

The Unseen Cost of India's Litigation Backlog

India’s legal system, home to over 50 million pending cases and millions of new filings each year, is plagued by inefficiencies. Despite some progress through digitisation initiatives like the eCourts project, much of the legal work remains paper-based, slow, and often inaccessible for the average person. These inefficiencies present both a massive burden for businesses and a roadblock for individuals seeking justice in a timely manner.

The legal system’s sluggish pace affects enterprises, with lengthy dispute resolutions hindering operational efficiency and creating uncertainty in the business landscape. This is where Nyayanidhi is hoping to make a difference. By using AI to automate legal documentation, translations, and filings, the platform promises to reduce processing times from weeks to days, providing a faster and more reliable path to dispute resolution.

The Solution: A Digital Backbone for Legal Infrastructure

Founded in 2024 by Adithya LHS, Chakshu Masagali, and Pratik Pany, the company’s goal is to create a digital litigation operating system for India. According to Adithya LHS, CEO of Nyayanidhi, “We are building Nyayanidhi as the digital infrastructure for litigation in India, a platform that brings speed, predictability, and accountability to legal work.”

By partnering with experienced advocates, Nyayanidhi ensures that AI-driven work is verified by human legal experts, offering a hybrid solution that balances the precision of technology with the reliability of human oversight. This combination aims to make legal processes more transparent, uniform, and goal-focused, ultimately setting a new benchmark for the industry.

The company’s platform already supports multilingual documentation and filings, streamlining communication between advocates, clients, and courts. Early pilots within the High Court of Karnataka and with enterprise clients have shown significant improvements. In one instance, the time taken to prepare litigation documents was reduced from several weeks to just a few days. These successes have fuelled confidence in Nyayanidhi’s potential to revolutionise the Indian legal ecosystem.

AI, Automation, and the Future of Legal Work

While AI and automation have made their way into numerous sectors, their application within the legal industry is still in its infancy, especially in emerging markets like India. Nyayanidhi’s approach, which leverages AI to optimise legal workflows, represents a significant leap forward in this space. The use of AI enables the system to process and manage large volumes of legal data, making it not only faster but also more reliable than traditional paper-based methods.

As noted by Sonal Saldanha, Principal at 3one4 Capital, “Nyayanidhi is addressing a real gap in India’s legal ecosystem. By focusing on measurable results, the team is enabling a streamlined and more reliable litigation process.” With their latest funding, Nyayanidhi plans to expand its advocate network, strengthen its AI infrastructure, and broaden its operations across India.

A Collaborative Approach to Legal Innovation

What sets Nyayanidhi apart is its collaborative approach. Rather than simply providing a vertical software solution, the company integrates deeply with legal practitioners, offering them tools to enhance their efficiency while preserving the human element that is crucial to the legal profession. This partnership model not only improves service delivery but also builds trust within the legal community, which can often be resistant to technological change.

With the new funding, Nyayanidhi will focus on expanding its presence in more states, deepening government partnerships, and scaling its platform to handle more complex legal tasks. The company’s vision is clear: to provide a faster, more transparent, and more predictable litigation process for every stakeholder involved, from corporate enterprises to individual litigants.

While the road to widespread adoption of legal tech in India may be long, Nyayanidhi’s innovative use of AI and its partnership model could very well set the stage for the next phase of legal evolution in India. By reducing the time and cost of litigation, the company is laying the groundwork for a future where justice is not only more accessible but also more efficient.