25-35-606. Defendant's counterclaim. (1) The defendant may assert a counterclaim against the plaintiff arising out of the same transaction or occurrence that is the subject matter of the plaintiff's claim by appearing before the justice of the peace and executing a sworn small claims counterclaim in substantially the same form as set forth in subsection (3). The defendant shall cause the counterclaim to be served on the plaintiff not less than 72 hours before the date set for the hearing. Service shall be made in the same manner in which service of the order of court/notice to defendant is made on the defendant. A defendant may not assert as a counterclaim any claim not arising out of the transaction or occurrence that is the subject matter of the plaintiff's claim.
     (2) A counterclaim or setoff may not exceed $2,500. If a counterclaim or setoff is asserted in excess of $2,500, the jurisdiction of the small claims court over the plaintiff's claim is not defeated, but the court shall limit its determination of the counterclaim or setoff to the question of whether the plaintiff's claim is discharged thereby, leaving the defendant to prosecute the balance of his claim in an appropriate justice or district court action.
     (3) The counterclaim shall be made on a blank substantially in the following form:
          IN THE SMALL CLAIMS DIVISION OF THE JUSTICE'S COURT OF ................. COUNTY, MONTANA BEFORE ................., JUSTICE OF THE PEACE


            ......
     
     ......     
     Plaintiff     
     vs.     Counterclaim
     ......     Case No. ...
     ......     
     Defendant(s)     
     

     ......
     Comes now the defendant, being first duly sworn, upon oath, and alleges that defendant is entitled to counterclaim against the plaintiff in the plaintiff's pending action in the sum of $....., for ......
     ...... ...... which sum is now due, together with defendant's costs herein expended.
     Dated this ...... day of .............., 19....
     
     
     ......
     Defendant
     ......
     Defendant's address
     

     Subscribed and sworn to before me this ..... day of .........., 19....
     
     
     ......
     Justice of the peace
     By:......
     Clerk, small claims division
     

     History: En. Sec. 11, Ch. 586, L. 1981; amd. Sec. 8, Ch. 438, L. 1989.