Fox Mandal (FM) and Nyaya Mitra Limited (NML), a subsidiary of Share Samadhan Limited (a BSE SME–listed company), have entered into a non-exclusive collaboration to work closely across India. NML focuses on the specialised domain of litigation funding consulting.
Through NML’s platform, www.litigationfundings.com, NML provides strategic financial and legal consulting to clients, enabling them to navigate complex litigations with confidence. With a mission to bridge the gap between litigants and financial resources, NML collaborates with top-tier legal experts such as Fox Mandal to ensure robust case management and faster successful outcomes.
Although litigation funding has been prevalent in India for many years through individuals and some companies, it has not been formally undertaken by any company that has raised funds through an Initial Public Offering to support this service.
Litigation funding, in general, is a financial arrangement where a third party pays for legal costs in exchange for a share of the recovery. It is permissible in India, even though there is no specific regulatory framework governing it. It is typically offered on a non-recourse basis, where the funder gets paid only if the case is successful. The funding covers legal expenses such as court fees and attorney fees, allowing claimants to pursue meritorious cases without financial strain or burden on their working capital. In many instances, litigation can be extremely expensive, and companies often find it difficult to engage the best legal minds for their matters. This is where litigation funding steps in to support the litigation.
Over the last decade and a half, litigation funding has grown rapidly across the world. India has a few companies that have been funding litigation and operating very successfully. However, some of the leading global litigation funds have not yet made a foray into India due to the absence of a defined regulatory framework.
The collaboration between Nyaya Mitra Limited and Fox Mandal involves NML seeking FM’s guidance on critical legal aspects of various cases and, as opportunities arise, engaging FM’s services for end-to-end case management.
Commenting on the collaboration, Mr. Som Mandal, Managing Partner, Fox Mandal said,
“With Fox Mandal ’ vast experience and Nyaya Mitra Limited’s focus on structured litigation funding consulting, we are confident that this association can set new benchmarks in the industry.”
Nyaya Mitra Limited typically aims to take up funding of litigations where the claim value is ₹50 crore or above. It intends to deploy the best legal expertise available and achieve outcomes that justify the funding and generate appropriate returns for investors.