Multiple choice

Debts between a plaintiff and defendant, one debt may be settled against another, can be a statutory defence to a plaintiff’s action and is called

  1. cross-claim

  2. set-off

  3. cross-demand

  4. cross-decree
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Set-off means a claim set up against another. It is an extinction of debts of which two persons are reciprocally debtors to one another by the credits of which they are reciprocally creditors to one another. Where there are mutual debts between the plaintiff and the defendant, one debt may be settled against the other.

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