For more than a decade, Nepal has been undergoing a process of re-democratisation, its third transition to democracy since the 1950s. Among the key pillars of the new democratic regime has been the establishment of constitutionally guaranteed judicial independence. Focusing on the role of the Supreme Court in defining, overseeing, and adjudicating Nepal's transitional justice process, this article considers the extent to which judicial independence and empowerment have been achieved in Nepal's ongoing democratic transition. It argues that despite institutional measures designed to protect judicial independence and efforts by members of the Supreme Court to exercise independence in their judgments, Nepal's re-democratisation process has seen the erosion of judicial independence. In doing so, the article provides new insights into the relationship between institutional judicial independence and judicial empowerment during transitions to democracy, and highlights a significant area of concern for the achievement of democratic consolidation in Nepal.