How Litigation Funding Is Reshaping The Indian Legal Market

Introduction: A Solution to the Justice Accessibility Crisis

India's justice system faces a paradox: while legal remedy is constitutionally enshrined, accessing it remains prohibitively expensive. With litigation costs escalating and commercial disputes requiring crores in legal fees, the financial burden has become a systemic barrier to justice itself.

Enter litigation funding where third-party investors finance legal claims in exchange for a share of successful recoveries. This non-recourse arrangement means funders absorb losses if cases fail, shielding claimants from downside risk. What was once viewed sceptically as "commercialization of justice" is emerging as a pragmatic solution to a pressing problem: how do claimants pursue meritorious cases when legal costs threaten their financial stability?