In what circumstances will a plaintiff be able to raise a defence of legal set-off?
Alberta, Canada
The following excerpt is from Condominium Corporation No. 0825873 v. 1246153 Alberta Ltd., 2010 ABQB 718 (CanLII):
In order to raise a valid defence of legal set-off, both obligations in question must be liquidated debts and those debts must be mutual cross obligations between the parties. See Telford v. Holt, 1987 CanLII 18 (SCC), [1987] 2 S.C.R. 193 at para. 25. Mutual cross obligations are debts which are due from either party to the other.
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