A real party in interest is the party who stands to be benefited or injured by the judgment in the suit, or

the party entitled to the avails of the suit.

Indispensable parties. — Parties in interest without whom no final determination can be had of an
action shall be joined either as plaintiffs or defendants.

A necessary party is one who is not indispensable but who ought to be joined as a party if complete
relief is to be accorded as to those already parties, or for a complete determination or settlement of the
claim subject of the action.

Non-joinder of necessary parties to be pleaded. — Whenever in any pleading in which a claim is asserted
a necessary party is not joined, the pleader shall set forth his name, if known, and shall state why he is
omitted. Should the court find the reason for the omission unmeritorious, it may order the inclusion of
the omitted necessary party if jurisdiction over his person may be obtained.

The failure to comply with the order for his inclusion, without justifiable cause, shall be deemed a waiver
of the claim against such party.
The non-inclusion of a necessary party does not prevent the court from proceeding in the action, and
the judgment rendered therein shall be without prejudice to the rights of such necessary party

Misjoinder and non-joinder of parties. — Neither misjoinder nor non-joinder of parties is ground for
dismissal of an action. Parties may be dropped or added by order of the court on motion of any party or
on its own initiative at any stage the action and on such terms as are just. Any claim against a misjoined
party may be severed and proceeded with separately. (11a)

Class suit. — When the subject matter of the controversy is one of common or general interest to many
persons so numerous that it is impracticable to join all as parties, a number of them which the court
finds to be sufficiently numerous and representative as to fully protect the interests of all concerned
may sue or defend for the benefit of all. Any party in interest shall have the right to intervene to protect
his individual interest

An answer is a pleading in which a defending party sets forth his defenses.

(a) A negative defense is the specific denial of the material fact or facts alleged in the pleading of the
claimant essential to his cause or causes of action.

(b) An affirmative defense is an allegation of a new matter which, while hypothetically admitting the
material allegations in the pleading of the claimant, would nevertheless prevent or bar recovery by him.
The affirmative defenses include fraud, statute of limitations, release, payment, illegality, statute of
frauds, estoppel, former recovery, discharge in bankruptcy, and any other matter by way of confession
and avoidance.

A counterclaim is any claim which a defending party may have against an opposing party

A compulsory counterclaim is one which, being cognizable by the regular courts of justice, arises out of
or is connected with the transaction or occurrence constituting the subject matter of the opposing
party's claim and does not require for its adjudication the presence of third parties of whom the court
cannot acquire jurisdiction. Such a counterclaim must be within the jurisdiction of the court both as to
the amount and the nature thereof, except that in an original action before the Regional Trial Court, the
counter-claim may be considered compulsory regardless of the amount. (n)

A cross-claim is any claim by one party against a co-party arising out of the transaction or occurrence
that is the subject matter either of the original action or of a counterclaim therein. Such cross-claim may
include a claim that the party against whom it is asserted is or may be liable to the cross-claimant for all
or part of a claim asserted in the action against the cross-claimant.