SITA RAM vs RADHABAI AND ORS.

The Supreme Court held that the principle of in pari delicto, which states that a party cannot seek legal remedy for an illegal act, has exceptions where the less guilty party may recover. The Court emphasized that if the parties are not in pari delicto, the less guilty party can recover property transferred under an unlawful contract. The burden of proof regarding the alleged illegal debt lay with the appellant, and since there was no evidence to prove the debt was avyavaharika, the appeal was dismissed.