LegalPay which provides legal solutions and funds litigations, has announced the launch of a zero-interest credit line for enterprises, start-ups, individual business owners, and freelancers to settle legal disputes while preserving their working capital.  

The company will disburse Rs 200 crore in 2024 through its own NBFC Padmalaya Finserve along with other partner NBFCs, it added in its statement.

Under the initiative called ‘Quick Settle’, structured financing is designed to streamline the resolution of legal disputes with a flexible 6–12-month repayment plan, enabling parties to resolve conflicts without depleting their working capital, it added.   

“Quick Settle aims to facilitate amicable dispute resolution by enabling parties involved in disputes to settle claims without impacting their working capital through a zero-interest credit line offered to the defendants with a flexible 6–12-month repayment cycle.  

Kundan Shahi, founder and CEO of LegalPay, said, "Quick Settle is not just a financial product. It catalyzes change, fostering a culture of collaboration and resolution. By allowing defendants to manage their working capital efficiently through a zero-interest repayment cycle, we aim to foster a more conducive environment for businesses to thrive. Quick Settle embodies years of litigation funding expertise, adopting a tailored approach because we understand that one size does not fit all. This structured financing option enables defendants to settle claims seamlessly, alleviating the stress of legal battles without compromising their working capital."    

The company expects the newly launched initiative to ease the legal financing as well as improve the efficiency of the Indian judicial system, which is currently burdened with an overwhelming backlog of 61 lakh cases in the country’s 25 High Courts, the statement added. 

Founded in 2019, the start-up has funded over 44,000 commercial cases and underwritten a staggering 92,000 cases nationwide, it claimed.