Multiple choice

If in any case in which the defendant sets up counterclaim, the suit of the plaintiff is stayed, discontinued or dismissed, the counterclaim

  1. shall be stayed

  2. nevertheless be proceeded with

  3. may be continued with the leave of the High court

  4. No specific provision
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B Correct answer
Explanation

Option (1) is incorrect: Shall not be stayed

Option (2) is correct: Under Order VIII, Rule 6D of the CPC, if in any case in which the defendant sets up a counterclaim, the suit of the plaintiff is stayed, discontinued or dismissed, the counterclaim may nevertheless be proceeded with.  Option (3) is incorrect: Can never be continued even with the leave of the High Court

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