Distinguish between the following: Legal Set-off and Equitable Set-off.

Distinguish between Legal Set-off and Equitable Set-off The legal set-off is limited to ascertained sum only whereas the equitable set-off is not so restricted. Equitable set-off can be allowed with respect to an unascertained sum of money. In the case of legal-set off the court is bound to give judgement on the question of set-off but in an equitable set-off the Court is not bound to give the finding upon it. It is within the discretion of the Court to consider or not to consider the equitable set-off in certain cases. In the case of legal set-off, the amount should not be barred by the law if limitation at the date of the suit and it must be legally recoverable while a claim of equitable set- off may be allowed after it is barred by the time at the date of the suit. In the case of legal set-off it is not necessary that the cross-demands must arise out of the same transaction whereas under equitable set-off it is very essential that the cross demand must arise out of the one and the same transaction.