Appellate Division of the Supreme Court of the State of New York May 23, 1967 (Chevron Oil Co. v. Atlas Oil Co. of Utica, Inc.)

Memorandum: In affirming we state briefly our reasons therefor. Prior to September 1, 1963— the effective date of CPLR — a party liable on one portion of a contract, in an action brought against him thereon, could counterclaim for damages for breach of another part of the same contract, even though the cause of action set forth in the counterclaim would be outlawed if an independent action were