PhysicsWallah Vs Scholars Den: Delhi HC Refers Case To Mediation

PhysicsWallah Vs Scholars Den: Delhi HC Refers Case To Mediation

SUMMARY

The Delhi HC directed the two parties to appear before the DHCMCC on July 31 to “explore the possibility” of a settlement

During the hearing on July 23, the counsel for Scholars Den informed the HC that the coaching institute does not intend to publish any more ads “injuncted” by the Court

Earlier, PhysicsWallah sued Scholars Den for defamation for calling the former “Sasta Wallah” (cheap one)

The Delhi High Court (HC) has sent a defamation suit filed by edtech major PhysicsWallah (PW) against rival coaching institute Scholars Den for mediation. 

In an order dated July 23, single judge bench of Justice Tejas Karia directed the two parties to appear before the Delhi High Court Mediation and Conciliation Centre (DHCMCC) on July 31 to “explore the possibility” of a settlement. 

“… The learned counsel for the parties submit that they are open to exploring the possibility of reaching an amicable settlement… Therefore, the parties are referred to… DHCMCC… to explore the possibility of settlement through mediation. The parties are directed to appear before the DHCMCC on 31.07.2025,” read the order. 

The HC also directed Scholars Den to file a reply within the next three weeks, adding that PW can file a rejoinder in the week thereafter. 

The case has been listed for next hearing on September 3.

This comes after PhysicsWallah sued Scholars Den for defamation for calling the edtech platform “Sasta Wallah” (cheap one). PW had secured an injunction in the matter in December last year, as per Bar and Bench.

During the hearing on July 23 (Wednesday), the counsel for Scholars Den informed the HC that the coaching institute does not intend to publish any more ads “injuncted” by the court. 

“The learned Counsel for the defendant submits that in view of the undertaking given by the defendant before this Court, the defendant is not intending to carry any further advertisement that has been injuncted by this Court,” read the order. 

As per Bar and Bench, the counsel for PW argued that Scholars Den, by calling it “sasta wallah”, was indicating that PhysicsWallah’s courses are not good because they are not expensive. The advocate also alleged that some of Scholars Den’s contentious ads were shot outside PW’s coaching centres.

“He can’t disparage my product right outside my physical station. He takes this advertisement and circulates on social media with my name written on it,” PW’s advocate argued. 

The development comes at a time when PW is gearing up for its IPO. Last week, it received SEBI’s approval for its IPO. The company had filed its DRHP via the confidential pre-filing route earlier this year. 

If the market debut materialises, PW will become the first major listed Indian edtech startup.

Founded in 2020 by Alakh Pandey and Prateek Maheshwari, the edtech major operates offline and hybrid centres across India. Its offerings span various educational segments, including test preparation in 43 categories, a skilling vertical, and higher education and study abroad verticals. 

On the financial front, PW’s net loss zoomed to INR 1,131.2 Cr in FY24 from INR 84.06 Cr in the previous year. Operating revenue increased 2.6X to INR 1,940.4 Cr from INR 744.3 Cr in FY23.

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