An advanced web of regulations as well as procedures exists in the realm of law, especially for civil litigation, to guarantee an equitable and fair settlement of disputes. The Code of Civil Procedure’s (CPC) counter claims clause is an essential part of this framework. In the course of court proceedings, counter claims serve a purpose because they let both parties tell their version of the story in detail.
counter claim meaning under cpc
- A counter claim is a claim that the defendant makes in a lawsuit against the plaintiff. It is a claim of and distinct from the plaintiff’s claim, which is subject to cross-action enforcement. As a result, it can be claimed that the defendant has a cause of action against the plaintiff.
- Only claims that the defendant is able to pursue in a different lawsuit may be the subject of a counter claim. As a result, a cross-action is essentially a counter claim. There was no explicit Code provision addressing counter claims prior to the Amendment Act of 1976. In the case of Laxmidas v Nanabhai, the Supreme Court established the entitlement to file a statutory counter claim.
- Specific guidelines pertaining to counter claims are included in Order 8 Rules 6A through 6G.
example of counter claim in cpc
- As an illustration, suppose A files a lawsuit against B, and B also wants to bring a lawsuit against A on an entirely separate issue. As an alternative to bringing a different lawsuit, B counter claims against A. Since the initial lawsuit is still pending, a significant amount of time is being saved in this case.
counter claim under civil procedure code: When to File?
Usually, the defendant could bring a counter claim against the plaintiff. However, at some point or inadvertently, in addition to the plaintiff, the defendant could also be able to recover damages from the other defendants in the lawsuit. However, it is not maintainable to make a counter claim just against co-defendants.
The language of Rule 6A, CPC specifies three crucial circumstances, which are as follows, in which a counter claim may be filed:
- either prior to the suit being filed, but
- before the defendant has offered his defense, or
- before the deadline for doing so has passed.
when counter claim can be rejected?
- According to Rule 6C, the plaintiff may apply to the court at any point before the issues are resolved if he believes that the complaint should be handled as a separate lawsuit rather than as a counter claim. The court will then decide whether or not to grant this request.
- According to Rule 6E, the court may issue an order against the plaintiff with regard to the counter claim or may file any other order it sees suitable if the plaintiff fails to respond to the counter claim.
For example: In the case of Jeenat Parveen and Ors. v The Civil Judge, the court rejected the petitioner’s attempt to file a reply to the respondents’ counterclaim, stating that doing so would simply cause the proceedings to drag out further. The ruling in the aforementioned case was the result of the petitioners’ failure to file a reply for over a year and a half. Thus, in order to avoid falling under the purview of Order 8 Rule 6E, the plaintiff must make sure that no such default ever occurs.
- According to Rule 6F, the plaintiff is responsible for paying the remaining amount to the defendant in the event that the defendant wins the case.
counter claim under civil procedure code: Landmark Case Rulings
- In the Gastech Process Engineering (India) Pvt. Ltd. v Saipem case, noted that a defendant uses a counter claim as a weapon to offer his defense and avoid bringing additional lawsuits.
- In the case of Manikchand Fulchand v Lalchand Harakchand, it was decided that, while counterclaim decrees are not just for money suits, they can also be used to grant possession in favor of the defendant. Contrary to set-off, the counterclaim will not be handled if the plaintiff’s lawsuit is dropped, dismissed, or stayed.
- In the case of A.Z. Mohd Farooq v State Govt., according to a statement, a set-off occurs when the defendant in a plaintiff’s suit requests payment for an amount that is less than or equal to the suit claim; nevertheless, a counterclaim arises when the defendant requests payment for a greater sum.
The counter claim must be handled as a cross-suit, tested alongside the initial claim, and subject to the pleading procedures, as stipulated by the code of civil procedure. It shall also be regarded as the defendant’s plaint against the plaintiff. Only in cases when a separate lawsuit can be launched over the counter claim’s subject matter will the counter claim be permitted. Both the plaintiff’s and the defendant’s positions are altered as a result.
For any latest news, judiciary exams notifications, patterns, etc watch Jyoti Judiciary’s YouTube channel for legal videos for any updates at https://youtube.com/@jyotijudiciarycoaching4852?si=2cwubh9d2A9urwJf
