The case of Dhananjay Rathi v. Ruchika Rathi (2026 INSC 360) involves a matrimonial dispute where the Supreme Court exercised its extraordinary powers under Article 142 to dissolve a marriage and quash subsequent criminal proceedings following a breached mediated settlement.
Factual Background
- The Marriage: The parties married in February 2000 and have two adult children. They began living separately in 2022-23 due to temperamental differences.
- The Settlement: In May 2024, the parties entered into a mediated Settlement Agreement. Key terms included:
- Dissolving the marriage by mutual consent.
- Husband paying the wife ₹1,50,00,000 (1.5 crores) in two installments.
- Wife transferring specific properties, shares, and a sum of ₹2,52,38,794 back to the husband.
- Both parties agreeing to end all civil and criminal disputes and refrain from future litigation.
- Performance and Breach: The husband paid the first installment (₹75 lakhs), returned jewellery, and paid for a new car as agreed. The wife performed her financial obligations but later refused to sign the Second Motion for divorce and withdrew her consent.
- New Litigation: After receiving substantial benefits from the settlement, the wife filed a complaint under the Domestic Violence (DV) Act in October 2025, alleging the husband had orally promised (but failed) to return jewellery worth ₹120 crores and gold biscuits worth ₹50 crores.
Supreme Court’s Legal Analysis
The Court set aside a High Court order that had allowed the DV proceedings to continue, focusing on the sanctity of mediation and the irretrievable breakdown of the marriage.
- Sanctity of Mediated Settlements: The Court emphasized that once parties voluntarily enter into a mediated settlement, they cannot be allowed to reverse its effects by pursuing subsequent complaints. It noted that the wife, a “mature and educated woman” assisted by counsel, never mentioned the alleged ₹120 crore promise in the written agreement.
- Abuse of Process: The Court characterized the wife’s DV complaint as a “premeditated” afterthought filed solely to extract more money and sustain litigation. The complaint lacked specific allegations of violence and was deemed an abuse of the legal process.
- Irretrievable Breakdown of Marriage: Applying the principles from Shilpa Sailesh, the Court found the marriage was “emotionally dead” and “beyond salvation”. Since the parties had lived apart for years and traded serious allegations, there was no possibility of reconciliation.
- Article 142 Powers: To do “complete justice,” the Court invoked its powers to dissolve the marriage directly, bypassing the need for a Second Motion that the wife had blocked [38, 53, 55.ii].
Final Directions
The Supreme Court issued the following directions to achieve a finality in the litigation :
- Quashing of Proceedings: The DV Act complaint and all other pending civil or criminal proceedings between the parties were quashed and closed [55.i, 55.vii].
- Divorce Decree: A decree of divorce was granted, dissolving the marriage [55.ii].
- Final Payments: The husband was directed to pay the remaining settlement balance of ₹70,22,871 within two weeks [49, 55.iv].
- Property Relinquishment: The wife was ordered to execute the remaining relinquishment deeds in favor of the husband within four weeks [49, 55.v].
- Refund of Deposit: The ₹89 lakhs the wife had deposited in the High Court as a condition of her DV complaint was ordered to be returned to her [50, 55.vi].
2026 INSC 360
Dhananjay Rathi V. Ruchika Rathi (D.O. J. 13.04.2026)




