Legal Dictionary of Pakistan

equitable-recoupment doctrine

A principle that diminishes a party's right to recover a debt to the extent that the party holds money or property of the debtor to which the party has no right. ( This doctrine is ordinarily a defensive remedy going only to mitigation of damages. The doctrine is sometimes applied so that a claim for a tax refund that is barred by limitations may nonetheless be recouped against a tax claim of the government. equitable relief See equitable remedy under REMEDY.