Princess Sapna (Tabu) leads a lonely life, guarded closely by her Rani Maa (Radha Seth) and Hukam Singh (Amrish Puri). She longs to see the world outside and one day she runs away from the palace out of sheer boredom and curiosity. In the outside world, she meets Raj (Rishi Kapoor) and encounters various people some are nice, others not so nice. Not knowing Sapna's real identity, Raj falls in love with her.
When Sapna goes back to the palace to save Raj's village, she finds out that Rani Maa and Hukam Singh are out to get her fortune. Seeing a change in Sapna after her encounter with the outside world, they conspire to keep Sapna away from her love and dreams. They create misunderstandings between the lovers and poison her ears against Raj. Various attempts by Raj to meet her are foiled by Hukam Singh. Eventually 1ove will triumph.