Case Name : Jag Mohan Chawla & Anr vs Dera Radha Swami Satsang & Ors Case Reference: (1996) 4 SCC 699 : (1996) Supp 2 SCR 509 Case Number: CA No. 8275 of 1996 Court: Supreme Court Bench: 02 Coram: K Ramaswamy (Author), GB Pattanaik Date: 07.05.1996
Features of counter claim
A limitation in entertaining a counter-claim is in the proviso to sub-rule (1), that the counter-claim shall not exceed the pecuniary limit of the jurisdiction of the court. With sub-rule (2) clarifying that the counter-claim has the same effect as a cross-suit to enable the court to pronounce a final judgment in the same suit, both on the original claim and the counter-claim. The plaintiff would be able to file written statement to answer the counter-claim {sub-rule(3)}, and the counter-claim would be treated and governed by the rules of pleadings of the plaint. {sub-rule(4)}
Counter claim in Money Suits
In money suits, decree must be conformable to CPC - Order XX rule 18; the objects of Rules 6A to 6G are conferment of statutory right on the defendant to set up a counter claim independent of the claim on the basis of which the plaintiff laid the suit, on his own cause of action.
Cause of action in Counter claim
As per CPC - Order VIII rule 6A, the parties can bring their own independent cause of action in respect of any claim that would be subject-matter of an independent suit. It is no longer confined to money claim or to cause or to cause of action of the same nature as the original action of the plaintiff. It need not relate to or be connected with the original cause of action or matter pleaded by the plaintiff. The cause of action from which the counter-claim arises need not necessarily arise from or have any nexus with the cause of action of the plaintiff that occasioned to bring the suit. The only limitation are as to timeline and pecuniary jurisdiction. ==This is separate from set-off as contained in CPC - Order VIII rule 6==
Counter Claim same as cross-suit
The counter-claim is expressly treated as a cross-suit with all the indicia of pleadings as plaint including duty to aver cause of action and also payment of requisite court fee thereon.
– Refer also: Laxmidas Dahyabhai Kabarwala vs Nanabhai Chunilal Kabarwala, (1964) 2 SCR 567 Mahendra Kumar vs State of MP, (1987) 3 SCC 265
See also: CPC - Order VIII rule 6 CPC - Order VIII rule 6B CPC - Order VIII rule 6C CPC - Order VIII rule 6D CPC - Order VIII rule 6E CPC - Order VIII rule 6F CPC - Order VIII rule 6G CPC - Order XX rule 18 CPC - Section 151
PDF: Jag Mohan Chawla vs Dera Radha Swami Satsang, (1996) Supp 2 SCR 509.pdf