In which of the following cases can C set off the claim?
Verified Answer
A. A sues C on a Bill of Exchange C alleges that A has wrongfully neglected to insure C's goods and is liable to pay in compensation
B. A sues B and C for Rs. 1000 the debt is due to C by A alone
C. A sues B and C for Rs. 1000 the debt is due to C by A alone
D. A sues C on a bill of exchange of Rs. 500. C holds a judgement against A for recovery of debt of Rs. 1,000
Explanation:
Order VIII Rule 6 of the CPC deals with set-off. A set-off is permissible when the defendant claims an ascertained sum of money legally recoverable from the plaintiff, and both parties fill the same character as regards the mutual debts. In option (D), C has a judgment (an ascertained sum) against A, and A is suing C, making it a valid case for set-off.