According to the legend, there lived a Brahmin named Brahmavetta and his wife Sudeha in the mountains of Devagiri. The couple lived a very happy married life except for the fact they were childless. For this reason Sudeha persuaded her sister Ghushma to marry her husband. After much persuasion Ghushma agreed to marry Brahmavetta.

After marriage, Gushma conceived a baby boy. The boy then grew up to be a handsome young man and got married. Sudeha would envy the happy family. Seeing an opportunity, she killed the son of Gushma at night when he was fast asleep.

When the son’s wife came to know about the murder she informed Brahmavetta and Gushma. After the incident Ghushma became very sad and she started worshipping the Shiv lingas day and night. Lord Shiva was pleased with her devotion. He appeared before her and asked here for a boon.

For which Ghushma asked Lord Shiva to forgive her sister and asked the Lord to make this place his abode permanently. Thus the jyotirlinga was formed there and was named Gushmeshwar /Grishneshwar jyothirlinga.