Counter Claim - Definition - Law Dictionary Home Dictionary Definition counter-claim

Definition :

Counter-claim, the word 'counter-claim' in s. 19(8) to (11) which is equated to a cross-suit, includes a claim if it is made in an independent suit filed earlier, Union of India, v. Abhijit Tea Co. (P.) Ltd., (2000) 7 SCC 357: AIR 2000 SC 2957 (2965). [Recovery of Debts due to Bank and Financial Institutions Act, 1993, s. 19(8) to (ii)]

By (English) R.S.C. 1883, Ord. XIX., r. 3, under the (English) Judciature Act, 1873, s. 24 (3); replaced by the (English) Judicature Act, 1925, s. 39 (1) (a), subject to the provisions of Rule 15, Order XXI, (exclusion of counter-claim), a defendant in an action may set off, or set up by way of counterclaim, against the claims of the plaintiff, any right or claim, whether such set-off or counter-claim sound in damages or not, and such set-off or counterclaim shall have the same effect as across action, so as to enable the Court to pronounce a final judgment in the same action, both on the original and on the cross claim. (As amended by (English) R.S.C. No. 1, 1929). See SET-OFF.

As to counterclaim in an inferior court involving matters beyond the jurisdiction of the Court, see (English) Jud. Act, 1925, s. 203, replacing (English) Jud.Act, 1873, s. 90.

Counter-claim, which is equated to a cross-suit, includes a claim even if it is made in an independent suit filed earlier, United Bank of India v. Abhijit Tea Co. Pvt. Ltd., (2000) 7 SCC 357.

Counter-claim, includes even a claim made in an independent suit and a claim for damages based on same transaction as being broadly a plea of set-off falling u/s. 19(6) & (7), State Bank of India v. Ranjan Chemicals Ltd., 2006 (10) SCALE 150 [Recovery of Debts Due to Banks and Financial Institutions Act, 1993, s. 19(6) to (11)]