10 Most Important Difference between “Set-Off” and “Counter-Claim” are listed below:
1. Set-off is explained in Rule-6 of Order-8 of C.PC.
2. Set-off is an old provision, and is existing since the enactment of C.P.C.
3. Set-off is of two kinds — (i) Legal Set-off; and (ii) Equitable Set-off.
4. Set-off is a statutory defense of the defendant to a plaintiff’s action.5. Set-off must be for an ascertained sum.
6. Set-off must arise out of the same transaction.
7. In a set-off, the defendant demands in a plaintiff’s suit an amount below or up to the suit claim.
8. The amount must be recoverable at the date of the suit.
9. Set-off is a ground of defense to the plaintiff’s action, just like a shield.
10. Set-off is a right to adjust the claim of the plaintiff against certain right or dues of the person entitled
1. Counter-claim is explained in Rules from 6-A to 6-G of Order-8.
2. Counter-claim is a new provision and the Rules 6-A to 6-G have been inserted in the Civil Procedure Code, 1908 by C.P.C. Amendment Act, 1976.
3. Counter-claim has no such classification.
4. Counter-claim is substantially a cross-action.
5. A Counter-claim can be made for an ascertained sum, or even for an unascertained sum.
6. It need not arise out of the same transaction.
7. In a counter-claim, the defendant demands for a large amount. The claim for excess amount is really a counter-claim.
8. The amount must be recoverable at the date of the written statement.
9. Counter-claim is a weapon of offence, just like a sword which enables the defendant to enforce the claim against the plaintiff effectually as an independent action.
10. A counter-claim is a claim made by the defendant in excess of the right claimed by the plaintiff.