Set-off is a type of counterclaim.

Set-off is a type of counterclaim.

• A. True
• B. False
• C. Not sure
• D. It depends

Answer: (A)

Set-off fits the idea of a counterclaim because it is a claim the defendant makes against the claimant within the same action, used to reduce or extinguish the plaintiff’s claim. It arises from the same transaction or dealings between the parties and is brought as part of the defendant’s response to the claim, not as a separate, standalone suit. In this way, set-off is a specific way to exercise a counterclaim—the defendant offsets what the plaintiff is claiming with a debt the plaintiff owes to the defendant. So the statement is true. The other options would misread the concept: it’s a recognized mechanism within the same proceedings, not something uncertain or conditional.

Set-off fits the idea of a counterclaim because it is a claim the defendant makes against the claimant within the same action, used to reduce or extinguish the plaintiff’s claim. It arises from the same transaction or dealings between the parties and is brought as part of the defendant’s response to the claim, not as a separate, standalone suit. In this way, set-off is a specific way to exercise a counterclaim—the defendant offsets what the plaintiff is claiming with a debt the plaintiff owes to the defendant. So the statement is true.

The other options would misread the concept: it’s a recognized mechanism within the same proceedings, not something uncertain or conditional.