KRS 396.125: Deduction of counterclaim.

In allowing a claim the personal representative may deduct any counterclaim which the

estate has against the claimant. In determining a claim against an estate a court shall

reduce the amount allowed by the amount of any counterclaims and, if the countercl aims

exceed the claim, render a judgment against the claimant in the amount of the excess. A

counterclaim, liquidated or unliquidated, may arise from a transaction other than that

upon which the claim is based. A counterclaim may give rise to relief exceed ing in

amount or different in kind from that sought in the claim.