In this article, there is discussion about Ratio Decidendi and Obiter Dicta, these two terms as in daily usage and are very easy to understand theoretically. However, while in the real practice in the courts it becomes fairly difficult for a practitioner to deduce ratio as it differs from judge to judge. There has been a binding principle of stare decisis in the Constitution of India backed by the principles of precedent it gives rise to the authoritative power to the Supreme Court, that whatever judgement passed by the Supreme Court will be law. However, the difficulty of determining a ratio has been reduced by the three famous test reviewed in this article. The tug of war between obiter and ratio has also been resolved to certain extent.