Question

Under Section 19(8), what is the difference between a 'counter-claim' and a 'set-off' in DRT proceedings?

Q: Answer-Under Section 19(8), what is the difference between a 'counter-claim' and a 'set-off' in DRT proceed...

Section 198 allows the defendant to set up a counter-claim against the applicants claim for any right or claim in respect of a cause of action accruing to the defendant against the applicant - either before or after the filing of the application but before the defendant delivers his defence - whether such counter-claim is in the nature of a claim for damages or not. In contrast, Section 196 restricts set-off to an ascertained sum of money legally recoverable by the defendant. A counter-claim is thus broader - it can include unliquidated claims and claims for damages. Under Section 199, a counter-claim has the same effect as a cross-suit enabling the Tribunal to pass a final order on both the original claim and the counter-claim.

A There is no difference - both are identical remedies available to the defendant

B A set-off can be filed at any time; a counter-claim only at the first hearing

C A counter-claim must be for a liquidated sum; a set-off can be for any type of claim

D A counter-claim can be for any right or claim (including damages) accruing to the defendant against the applicant, arising before or after filing; a set-off is limited to an ascertained sum legally recoverable

E A counter-claim is filed in a separate civil court proceeding; a set-off is filed within DRT proceedings

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