Opinion ID: 1732451
Heading Depth: 1
Heading Rank: 2

Heading: Reinstatement of Defendants' Counterclaim.

Text: The conclusion in defendants' brief casually requests, without citation of authority, that in the event plaintiff prevails here, that the entire Ruling of the Court ... be reversed, including the Dismissal of the Defendants' Counterclaim, because the only reason the Counterclaim was dismissed by the Trial Court was that the Plaintiff's case was dismissed and there was no longer any matter against which the Counterclaim could constitute a set off. Defendants' failure to cross appeal from the dismissal has caused us to scrutinize this request with unusual care. The general rule is that a party's failure to appeal from an adverse trial court ruling renders the matter beyond our jurisdiction to adjudicate, Musch v. Frost, 319 N.W.2d 286, 288 (Iowa 1982), and precludes the granting of more favorable relief on appeal. Prestype Inc. v. Carr, 248 N.W.2d 111, 121 (Iowa 1976). In this case, however, trial court predicated dismissal of the defendants' cause of action on dismissal of plaintiff's opposing claim. In these circumstances, we hold defendants' failure to appeal does not preclude trial court on remand from considering their counterclaim as a set off. Denomination of a pleading as a counterclaim does not prevent it from being used as a set off, Brown v. Missouri Pacific Transp. Co., 189 Ark. 885, 75 S.W.2d 804 (1934); see Iowa R.Civ.P. 32; 6 C. Wright & A. Miller, Federal Practice and Procedure: Civil § 1426 (1971), nor does the fact that it is barred by the statute of limitations. Iowa Code § 614.12 (1979); Merritt v. Peterson, 208 Iowa 672, 675-76, 222 N.W. 853, 854 (1929). Failure to appeal only precludes defendants from asserting their claim is not barred. If supported by substantial evidence it is only available as a set off. Trial court's rulings on plaintiff's motion for adjudication of law points and defendants' motion for dismissal, summary judgment, and directed verdict were in error. We reverse and remand for consideration of plaintiff's case and defendants' claim for set off on the merits. Because evidence was closed and both parties rested, trial court should consider the evidence disclosed by the record already made and render judgment accordingly. Collins v. Parsons College, 203 N.W.2d 594, 599 (Iowa 1973). REVERSED AND REMANDED WITH DIRECTIONS.