Untitled

returning a draggable li to its original index
$item.data('originalParent', $(this).prev());

.insertAfter( $item.data('originalParent') )

<ul list="1">
    <li list="1" item="1"></li>
    <li list="1" item="2"></li>
</ul>
<ul list="2">
    <li list="2" item="1"></li>
    <li list="2" item="2"></li>
</ul>

list =  $(this).attr('list');
item =  $(this).attr('item');
// store this list and item variable data with the div or parent of where ever the list item was dropped

if (item == 1)
{
    // the list item being restored is the first so prepend it to the beginning of the list it came from
    element.prependTo( $('ul[list=' + list + ']') );
}
else
{
    // the list item is not the first so find the item before it in the list it came from and insert it after that list item
    element.insertAfter( $('ul[list=' + list + '] li[item=' + (item - 1) + ']') );
}