A negative defense is the specific denial of material fact or facts alleged in the pleading of the claimant essential to their cause of action. Its purpose is to specifically deny the material averments in the pleading of the claiming party, compelling parties to disclose facts and lay their cards on the table to reduce controversy.

This defense is stated in the form of a specific denial. Failure to make a specific denial of material averments (except unliquidated damages) results in them being deemed admitted. A general denial is not specific and is considered an admission. A denial implying also an affirmative, called a negative pregnant, is considered an admission of the substantial facts not squarely denied.

Specific denials can be made in several ways:

• Specifying each material allegation denied and setting forth the substance of supporting matters (Absolute Denial).
• Denying only a part of an averment, specifying what is true and material (Partial Denial).
• Stating lack of knowledge or information sufficient to form a belief as to the truth of a material averment, which has the effect of a denial. However, this is not a valid denial if the matter is plainly within the defendant's knowledge.

For example, if a complaint alleges that a defendant borrowed money, a negative defense would be the defendant specifically denying this allegation. The defendant might state they never secured a loan from the plaintiff because they don't even know the plaintiff.