Hi amitsdba, and welcome to the forum. 😀

If you run out of space and sql server becomes unresponsive, switch the database’s recovery model to simple . This empties out the transaction log, and then run DBCC SHRINKFILE afterwards to free the remaining space, then switch the recovery model back to full.

Your backup strategy is very important. Make sure you do all the backups you need to attain your recovery time and point objective. If you use the full recovery model, backing up your transaction log is mandatory.

Hope it helps.