Police said the accused, identified as Sumit, had a friendly relation with the wife of the woman's brother who had objected to it.
The woman's mother was also injured in the attack.
The incident took place this morning when Sumit, who owns a grocery shop in the area, allegedly entered his neighbour's house with a knife to kill Nitin, the brother of the deceased woman Jyoti.
When Sumit tried to stab Nitin, his mother and sister intervened and were injured in the clash.
More From This Section
When Nitin tried to nab Sumit, he again attacked him and this time he stabbed Nitin's mother and fled from the spot.
The duo were rushed to a nearby hospital where Jyoti succumbed to her injuries whereas Lata is stated to be out of danger.
Neighbours alerted police who arrested Sumit from near his house.
Sumit claimed that Nitin had been troubling his wife and despite several warnings he continued to misbehave with her, said a senior police officer.