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How Indian firms are reforming the legal landscape to attract international business

This article is authored by Kartik Ganapathy, founding partner, CMS INDUSLAW.

Published on: Aug 30, 2025, 16:27:29 IST
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In today’s interconnected world, international business has become the norm rather than the exception. Companies frequently enter into partnerships, sign contracts, and invest across borders. However, the legal systems governing these transactions can be complex, especially when dealing with different rules, languages, and expectations. India, a fast-growing economy with global ambitions, has taken notable steps in recent years to simplify this complexity and become a more attractive destination for international business.

Business (Representational Image/Pixabay)
Business (Representational Image/Pixabay)

The Indian legal landscape has traditionally been viewed as slow-moving and bureaucratic, especially when it comes to resolving commercial disputes. However, significant reforms have been introduced to modernise the system and ensure that it meets the standards expected in global commerce. Indian law firms and institutions are playing a central role in this transformation, making it easier for international businesses to invest, operate, and resolve conflicts in India.

One of the most important changes has been the shift towards legal practices that align with international norms. Indian law firms are increasingly offering services that mirror the professionalism, efficiency, and transparency expected in global markets. These firms now routinely provide multi-jurisdictional legal advice, which helps foreign clients understand how Indian laws interact with their own legal systems.

Many Indian legal practices work closely with international firms based in the US, UK, Singapore, and the UAE, creating a seamless legal experience across countries. This allows international businesses to feel more secure when operating in India, knowing they have legal advisers who understand both the local and international contexts.

Additionally, there has been movement towards opening up the Indian legal market to foreign firms. Although full liberalisation is still a work in progress, recent policy changes have allowed foreign legal professionals to advise clients on foreign law within Indian borders, marking a symbolic and practical shift towards greater global integration.

One of the most significant areas of reform is in how commercial disputes are resolved. Instead of relying solely on traditional court systems, which can be slow and congested, India has embraced arbitration — a private method of resolving disputes that is generally quicker and more efficient. Transactions involving entities from multiple jurisdictions almost always have international commercial arbitration as the preferred method of dispute resolution.

India’s arbitration laws have been updated to match global standards, with strict timelines, reduced court interference, and better enforcement of awards. Institutions onshore in India such as the Mumbai Centre for International Arbitration (MCIA) have been established to offer world-class facilities for resolving disputes involving foreign companies.

This approach is especially important for international businesses, which often prefer arbitration due to its confidentiality, time and speed to resolution and efficiency. Indian courts are also increasingly supportive of this trend, regularly enforcing arbitration awards from other countries and reducing delays in the legal process.

Technology is another area where Indian law has made substantial progress. In recent years, courts have begun conducting virtual hearings, accepting online filings, and using digital tools to speed up case management. Many Indian law firms have also adopted advanced legal technologies such as Artificial intelligence (AI) for contract analysis, due diligence, and compliance checks.

For international clients, this digitisation means easier access to legal services in India. Documents can be shared and reviewed remotely, hearings can be attended online, and real-time updates can be provided — all of which reduce the barriers of distance and time zones. This move towards digital legal services not only improves efficiency but also demonstrates India’s readiness to operate within the expectations of modern global businesses.

Legal services in India have also expanded beyond courtroom representation. Indian firms are now offering proactive legal advice that helps international businesses comply with both Indian laws and global regulatory standards. Issues such as data protection, environmental responsibility, and ethical governance are now part of regular legal consultations. This shift towards comprehensive legal strategy means that companies investing in India can better plan for long-term success, avoid legal pitfalls, and operate responsibly.

Such advisory services are particularly valued by foreign investors, who often need clear and reliable guidance when entering new markets. The ongoing reform of India’s legal system would not be possible without a new generation of legal professionals who are trained to operate in international settings. Indian law schools have introduced modern curricula, including courses on international trade law, arbitration, and cross-border taxation.

Young lawyers are also gaining international exposure through internships, moot court competitions, and advanced degrees abroad. Law firms are supporting this trend by investing in training that prepares their teams to meet the expectations of global clients. This new generation of lawyers is well-versed not only in Indian law but also in the business and cultural practices of other nations, making them highly capable of handling complex cross-border matters.

India’s legal sector is in the midst of a quiet but powerful transformation. Through improved arbitration practices, the adoption of legal technology, alignment with global standards, and the development of internationally trained lawyers, the country is sending a strong message: it is ready to welcome international business and resolve disputes quickly, fairly, and efficiently.

For companies looking to expand into one of the world’s largest and fastest-growing economies, these changes provide greater clarity, confidence, and convenience. The road to doing business in India is becoming smoother, and the legal community is playing a key role in paving the way.

This article is authored by Kartik Ganapathy, founding partner, CMS INDUSLAW.