The Shiva linga here is believed to be thousands of years old. Legend has it that Shiva gave three sacred Sihvalingas to Parvathy for worship. Once sage Maandhatha propitiated Lord Shiva with intense prayers. Shiva was so pleased that he presented one of the Shivalingas to him with the injunction that it should be installed only at a place where there was no cremation ground. The sage, after searching all over, found Taliparamba the most sacred spot where he installed the linga.
After his death the linga however disappeared into the earth. Then his son Muchukunda offered similar prayers to Shiva and got a second linga, which too disappeared in course of time. Centuries passed. The third Shivalinga was handed down to Satasoman, a king of Mushaka (Kolathunad) dynasty who then ruled the region. He was an ardent devotee of Shiva. On the advice of sage Agastya he prayed to Lord Shiva who granted him the Shivalinga. Parasurama installed the Lingam in the present temple built by Satasoma.