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Counterclaim. The defendant may file a counterclaim, which asserts that the plaintiff has injured the defendant in some way, and should pay damages. ("You're suing me? Well then, I'm suing you.") It may be filed separately or as part of the answer.
For example, if two parties to a contract start feuding, the plaintiff may sue the defendant for breach of contract. If the defendant believes that the plaintiff is the one who breached, the defendant can file a counterclaim against the plaintiff.
If you are served with a Counterclaim (Small Claims), one of your options is to simply pay the money that the counterclaimant is seeking. You can also try to negotiate with the counterclaimant to resolve the case.
You should respond to the counterclaim as though it were a Statement of Claim and you were drafting a Defence: respond to every paragraph ? you can do this paragraph by paragraph if necessary; deny any allegations of fact that you do not admit ? you will be deemed to admit facts that you forget to plead to; and.
You must fill out an Answer, serve the plaintiff, and file your Answer form with the court. Generally, this is due within 30 days after you were served. If you don't, the plaintiff can ask for a default.