According to The Athletic, Nuno has hired a legal team to take legal action against Forest. The exact reason for the planned lawsuit is unknown, but it is understood to be directly linked to the 52-year-old's surprise dismissal in September.
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Nuno had led Forest to European competition for the first time in 30 years last season and subsequently signed a new three-year contract.
A few weeks later, the dismissal followed.
The main reason was reportedly a dispute with Edu, the recently appointed new head of the football empire owned by Evangelos Marinakis.
Forest are currently sitting 17th on the Premier League level on points with Nuno's third from bottom West Ham.