https://www.taxtmi.com/caselaws?id=281791 Statutory set-off for mutual dealings under the Provincial Insolvency Act operates as an equitable adjustment of reciprocal debts and may be invoked in civil proceedings, rather than being confined to the insolvency forum. This prevents parties from avoiding adjustment of mutual liabilities through separate litigation. An assignee of a promissory note cannot claim holder-in-due-course protection where the assignment was taken with notice that the instrument was security for future instalments and with knowledge of circumstances indicating a defect or irregularity. Such notice preserves the debtor's set-off defence against the assignee. en-us Tue, 19 Nov 1957 00:00:00 +0530 Sat, 06 Jul 2019 17:41:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=281791 Statutory set-off for mutual dealings under the Provincial Insolvency Act operates as an equitable adjustment of reciprocal debts and may be invoked in civil proceedings, rather than being confined to the insolvency forum. This prevents parties from avoiding adjustment of mutual liabilities through separate litigation. An assignee of a promissory note cannot claim holder-in-due-course protection where the assignment was taken with notice that the instrument was security for future instalments and with knowledge of circumstances indicating a defect or irregularity. Such notice preserves the debtor's set-off defence against the assignee. Case-Laws Indian Laws Tue, 19 Nov 1957 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=281791