Core Legal Answer & Context: (a) Meaning: A counter-claim is a claim made by a defendant against the plaintiff in the same suit. It is essentially a cross-action, allowing the defendant to seek relief against the plaintiff, rather than merely defending the plaintiff's claim. (b) Nature: It is treated as a separate suit by the defendant against the plaintiff, enabling the court to adjudicate all disputes between the parties in a single proceeding, thereby avoiding multiplicity of suits. (c) Scope: It can be any right or claim in respect of a cause of action accruing to the defendant against the plaintiff, either before or after the filing of the suit, but before the defendant has delivered his defence or before the time fixed for delivering his defence has expired. (d) Modes of Setting Up: A counter-claim is set up by including it in the written statement filed by the defendant. (e) Who may file: Any defendant against the plaintiff. (f) Upto which stage: It can be set up at any time before the defendant has delivered his defence or before the time fixed for delivering his defence has expired. The court may, in exceptional circumstances, allow it later. (g) Effect: If a counter-claim is established, the court can pronounce a final judgment in the same suit, both on the original claim and the counter-claim. It has the same effect as a cross-suit, and the court can grant a decree for any balance found due to either party.

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