Finance and business scholars have begun to explore outbound acquisitions by Indian multinationals, emphasizing the business and economic motivations underlying these transactions. However, there has been little analysis of the significant role of India’s legal norms and rules, including recent shifts in the country’s regulatory and legal regimes, in the rapid expansion of Indian multinationals. I believe that law plays a number of important roles in the emergence of Indian multinationals. First, legal reforms launched during the economic liberalization period spearheaded by Manmohan Singh, India’s current Prime Minister and former Finance Minister, set the stage for outbound acquisitions by Indian multinationals. Second, legal norms and legal history provide Indian multinationals with competitive advantages that are largely distinct from that of firms from other emerging economies. Third, legal constraints on mergers and acquisition activity by Indian firms impose substantial restrictions not only on the methods used by Indian multinationals in pursuing outbound acquisitions, but also on the future potential of Indian multinationals. An analysis of the role of law and legal norms not only presents a more complete picture of the environment that has both facilitated and constrained outbound acquisitions by Indian multinationals, but also explains in part why Indian multinationals have targeted firms in the west. My article presents this analysis, which I hope other scholars, as well as lawmakers, will find helpful.