Under the rules, a compulsory counterclaim must be pleaded at the time of service if it arises out of the transaction or occurrence that is the basis of the opposing party's claim.

Under the rules, a compulsory counterclaim must be pleaded at the time of service if it arises out of the transaction or occurrence that is the basis of the opposing party's claim.

• A. At the time of service
• B. Before the complaint is served
• C. After a discovery deadline
• D. With leave of court

Answer: (A)

In North Carolina, a compulsory counterclaim must be raised in the defendant’s answer at the moment the answer is served. This requirement comes from Rule 13(a), which says a counterclaim arising out of the same transaction or occurrence as the plaintiff’s claim must be pleaded in the response when service is made. Because of this, the correct timing is “at the time of service.” If you wait to bring a compulsory counterclaim later, it’s typically barred from being asserted in the same action. That’s why other options don’t fit: you can’t plead before service, discovery deadlines aren’t the pleading moment, and compulsory counterclaims don’t require leave of court. Leave is generally for permissive counterclaims, not compulsory ones.

In North Carolina, a compulsory counterclaim must be raised in the defendant’s answer at the moment the answer is served. This requirement comes from Rule 13(a), which says a counterclaim arising out of the same transaction or occurrence as the plaintiff’s claim must be pleaded in the response when service is made. Because of this, the correct timing is “at the time of service.”

If you wait to bring a compulsory counterclaim later, it’s typically barred from being asserted in the same action. That’s why other options don’t fit: you can’t plead before service, discovery deadlines aren’t the pleading moment, and compulsory counterclaims don’t require leave of court. Leave is generally for permissive counterclaims, not compulsory ones.