Rule 19 of CPC : Rule 19: Decree when set-off or counter-claim is allowed.

Explanation using Example

Example 1:

Scenario: Ravi files a lawsuit against Suresh for non-payment of Rs. 1,00,000 for goods delivered. Suresh, in his defense, claims that Ravi owes him Rs. 40,000 for a previous transaction where Ravi had taken a loan from Suresh.

Application of Rule 19:

• The court allows Suresh's counterclaim of Rs. 40,000.
• The decree will state that Ravi is owed Rs. 1,00,000 by Suresh.
• The decree will also state that Suresh is owed Rs. 40,000 by Ravi.
• The net amount due will be calculated, and the decree will order Suresh to pay Ravi Rs. 60,000 (Rs. 1,00,000 - Rs. 40,000).

Example 2:

Scenario: Meena sues Raj for Rs. 2,00,000 for breach of contract. Raj countersues Meena for Rs. 50,000 for damages caused by Meena's delay in fulfilling another contract.

Application of Rule 19:

• The court finds merit in Raj's counterclaim and allows it.
• The decree will state that Me...

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