How NYAI Is Using Explainable AI to Simplify India’s Complex Legal Landscape

Introduction

India’s legal ecosystem is among the most complex in the world spanning courts, tribunals, regulators, ministries, and layers of central, state, and municipal laws. NYAI, a legal and compliance AI startup, is attempting to tackle this complexity head-on by building systems that prioritise accuracy and depth of Indian laws.

In an interview with the Indian Startup Times, founder Adv. Dr. Chinmay Bhosale explains how his background in law, combined with a deep understanding of India’s legal machinery, led to the creation of NYAI and shaped its product philosophy

The Personal Journet Behind NYAI

Adv. Dr. Chinmay Bhosale’s decision to build NYAI along with industry veterans Vikrant Labde and Nikhil Ambedkar, is rooted in both experience and proximity. As a third-generation lawyer, he has spent over 16 years in the legal field and has seen the system closely. His family includes senior advocates, bar council leadership, judges, and law ministers, giving him lifelong exposure to how law operates.

His combination of academic depth and real-world exposure helped him clearly identify two persistent problems in India’s legal ecosystem: the overwhelming volume of laws and judgments, and the lack of structured, accessible compliance knowledge. NYAI was founded to address both.

Understanding NYAI's two Core Verticals

NYAI operates across two main verticals: legal intelligence and compliance automation.

In the legal vertical, the core challenge is human limitation. No lawyer can realistically read, remember, and connect every law, amendment, judgment, and circular in a country as legally dense as India. Courts, tribunals, and even quasi-judicial bodies generate millions of documents, all of which can impact legal outcomes.

NYAI has built systems that studies and pre-processes this data, allowing the platform to analyse laws, amendments, case laws, and regulatory frameworks together. The system doesn’t merely retrieve information but also interprets it in context and delivers outputs backed by citations that can be verified and used in court.

From Legal Research to Compliant Drafting

NYAI also applies this legal intelligence to documentation and contract drafting. Traditional drafting tools often generate generic documents that may overlook legal nuances or recent amendments. NYAI’s system embeds legal intelligence directly into the drafting process, enabling users to create complex, long-form agreements that are legally compliant from the start.

Automating India's Compliance Maze

The compliance vertical addresses an equally challenging problem. Businesses in India are subject to compliances across 52 central ministries and their numerous departments. Large organisations may face tens of thousands of compliance obligations every year.

NYAI maps a company’s entire compliance landscape based on its size, sector, and operations. The platform tracks everything associated with non-compliance and follows an explainable AI approach. Every compliance requirement is linked back to the specific law, rule, or regulation that mandates it, allowing legal and compliance officers to verify outputs quickly.

Keeping Pace with Legal Amendments

India’s laws are constantly evolving through amendments and to keep up with this NYAI has built structured data pipelines that track these changes. By understanding how legislative authority flows, whether from Parliament, state assemblies, or rule-making bodies, the system knows where to look for updates and how to incorporate them accurately.

Why NYAI Chose an Infrastructure-First Approach

Rather than rushing to market with surface-level features, NYAI consciously chose to be infrastructure-heavy from the beginning. Its founding team includes highly experienced technologists with decades of experience. Months were spent collecting, structuring, and pre-processing legal data before focusing on outputs. This ensures that the intelligence layer is reliable and capable of delivering consistent results.

Funding & Early Backing

NYAI has raised seed funding in a phased manner, with the first phase already closed and the second scheduled for early 2026. The funding comes from a group of large family houses, who also bring strategic value by opening doors for larger collaborations. The company’s long-term vision extends beyond law firms to in-house legal teams and businesses across sectors.

Funding & Early Backing

One of the biggest challenges NYAI faced was access to data. Legal information in India is fragmented, often locked behind institutional barriers, and rarely available in clean, structured formats. Gathering this data required significant effort and domain expertise. Another challenge was ensuring quality. No single individual can master every legal domain, so NYAI worked closely with subject-matter experts to validate outputs.

Advice for Founders Building Startups

For founders, Adv. Dr. Chinmay Bhosale offers the following advice, “First, avoid chasing hype and remember that real impact takes time. Second, focus on building sustainable solutions rather than products that burn capital endlessly. And finally, prioritize truthfulness over flashy outputs, especially in AI systems where hallucinations can have serious consequences.