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THE FIRST SCHEDULE · ORDER VIII Written statement, set-off and counter-claim

Order VIII Rule 6: Particulars of set-off to be given in written statement

The Code of Civil Procedure, 1908

(1) Where in a suit for the recovery of money the defendant claims to set-off against the plaintiff’s demand any ascertained sum of money legally recoverable by him from the plaintiff, not exceeding the pecuniary limits of the jurisdiction of the Court, and both parties fill the same character as they fill in the plaintiff’s suit, the defendant may, at the first hearing of the suit, but not afterwards unless permitted by the Court, presents a written statement containing the particulars of the debt sought to be set-off.

(2) Effect of set-off.—The written statement shall have the same effect as a plaint in a cross-suit so as to enable the Court to pronounce a final judgment in respect both of the original claim and of the set-off: but this shall not affect the lien, upon the amount decreed, of any pleader in respect of the costs payable to him under the decree.

(3) The rules relating to a written statement by a defendant apply to a written statement in answer to a claim of set-off.

Illustrations

(a) A bequeaths Rs. 2,000 to B and appoints C his executor and residuary legatee. B dies and D takes out administration

to B's effects, C pays Rs, 1,000 as surety for D; then D sues C for the legacy. C cannot set-off the debt of Rs. 1,000 against the legacy, for neither C nor D fills the same character with respect to the legacy as they fill with respect to the payment of the Rs. 1,000.

(b) A dies intestate and in debt to B. C takes out administration to A’s effects and B buys part of the effects from C.

In a suit for the purchase-money by C against B, the latter cannot set-off the debt against the price, for C fills two different characters, one as the vendor to B, in which he sues B, and the other as representative to A.

(c) A sues B on a bill of exchange. B alleges that A has wrongfully neglected to insure B’s goods and is liable to him in

compensation which he claims to set-off. The amount not being ascertained cannot be set-off. (d) A sues B on a bill of exchange for Rs. 500. B holds a judgment against A for Rs. 1,000. The two claims being both definite

pecuniary demands may be set-off.

(e) A sues B for compensation on account of trespass. B hold a promissory note for Rs. 1,000 from A and claims to set-off that

amount against any sum that A may recover in the suit. B may do so, for, as soon as A recovers, both sums are definite pecuniary demands.

(f) A and B sue C for Rs. 1,000. C cannot set-off a debt due to him by A alone. (g) A sues B and C for Rs. 1,000. B cannot set-off a debt due to him alone by A. (h) A owes the partnership firm of B and C Rs. 1,000. B dies, leaving C surviving. A sues C for a debt for Rs. 1,500 due in his

separate character. C may set-off the debt of Rs. 1,000.

Questions on this rule

3 questions in 21 of our papers cite Order VIII Rule 6. Try these from the free papers:

  1. 1. A and B jointly sue C for Rs. 50,000 due to them under a joint contract. In his written statement, C claims to set off Rs. 20,000 that A alone owes him under a separate loan. Under Order VIII Rule 6 CPC:

  2. 2. A sues B for Rs. 2,00,000 as the price of goods sold. In his written statement, B seeks to set off damages, the amount of which is yet to be assessed, claimed for A's negligence in carrying some other goods for B. Under Order VIII Rule 6 CPC, B:

  3. 3. A sues B for compensation for a trespass committed by B on A's land, the amount to be assessed by the Court. B holds a promissory note for Rs. 1,000 executed by A and, in his written statement, claims to set off that sum against any amount A may recover in the suit. Under Order VIII Rule 6 of the Code of Civil Procedure, 1908, read with its illustrations, B:

Practise questions on Civil Procedure Code