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Jackie Shroff and Anil Kapoor were upcoming stars when they were signed for the film.
Subhash Ghai's original choice for the villain's role (Dr. Dang) was Amrish Puri, but the film-maker opted for Anupam Kher instead. Reason: "Amrish has been killed so many times on screen earlier that people wouldn't be interested in watching him get killed yet again," Ghai had revealed then.
The confrontation scene between Naseerudin Shah and Dilip Kumar was actually shot with the two actors separately. Naseer delivered his lines to a stand-in of Dilip Kumar (whose back was to the camera) while DIlip Kumar delivered his lines to a stand-in of Naseer. Shah was very upset with Subhash Ghai over this decision, feeling that the director had cheated him out of having a scene with the legendary actor Dilip Kumar, and vowed never to work with Ghai again.
Subhash Ghai wanted Rajnikanth for the film. He had written a role just for him. But it was Anil Kapoor and Boney Kapoor who convinced Ghai go sign Naseeruddin Shah. Anil felt having Naseer in the film would add respectability to the project.
Subash Ghai met a newcomer Madhuri Dixit on the sets of Karma ,she was shooting for her film Aawara Baap 1985 at a nearby location.Madhuri Dixt had shot for a dance number which couldn't get any place in the film so Subash Ghai decided to launch her in Ram Lakhan,but before Ram Lakhan released Madhuri Dixit became a big star with Tezaab 1988.
Amrish Puri who played villain in Subash Ghai's previous films was replaced by newcomer Anupam Kher for change in audience mind.