In any action brought for a declaration of right to possession or to recover possession of real property or to remove claimed encroachments, a defendant in addition to defending against plaintiff’s claim may by counterclaim allege that the defendant or a person under whom the defendant claims, while holding adversely by color of title asserted in good faith, has made permanent and valuable improvements on or by permanent and valuable building has encroached on such property and may demand the value to the plaintiff of such improvements and taxes paid. The plaintiff may amend the plaintiff’s complaint to set off against such claim for improvements and taxes any claim for rents and profits enjoyed by the defendant or those under whom the defendant claims during any period occurring prior to and terminating 6 years before the commencement of such action and which the plaintiff might have recovered but for the limitation of s. 843.13 (1).
843.09.Counterclaim for improvements.
Ch. 843: Actions for Possession of Real Property; Damages for Withholding · Last amended 1993 · Last verified July 15, 2026
In one sentenceSection 843.09 lets a defendant who improved property in good faith under color of title counterclaim for the value of those permanent improvements and taxes paid, while letting the plaintiff offset that claim with rents and profits the defendant enjoyed in the six years before the limitation period set by Section 843.13(1).
Full Text of Section 843.09
Plain-English Summary
Section 843.09 addresses what happens when someone who believed they owned property, and held it under color of title, put real money and effort into improving it before losing a possession fight. In an action for a declaration of the right to possession, for recovery of possession, or to remove claimed encroachments, that defendant may counterclaim for the value to the plaintiff of permanent and valuable improvements made while holding adversely and in good faith, or for a permanent and valuable building that encroached on the property, along with taxes paid.
The plaintiff is not left absorbing that cost without recourse. The plaintiff may amend the complaint to set off against the defendant’s improvement-and-tax claim any claim for rents and profits the defendant, or those the defendant claims under, enjoyed — but only for the period before and ending six years before the action was commenced, and only up to what the plaintiff could have recovered but for the time limit in Section 843.13(1).
The result is a rough accounting between the parties: the defendant who improved the land in good faith gets credit for that value and for taxes paid, while the plaintiff can net out rents and profits the defendant collected, subject to the same limitations period that would apply to a standalone rents-and-profits claim.
Frequently Asked Questions
Can a defendant who improved property they thought they owned recover anything if they lose the possession case?
Yes, if the improvements were permanent, valuable, and made while holding adversely under color of title asserted in good faith. Section 843.09 lets that defendant counterclaim for the value of the improvements to the plaintiff, plus taxes paid.
Does this counterclaim cover a building that encroaches onto the plaintiff’s land?
Yes. Section 843.09 allows a counterclaim for a permanent and valuable building that has encroached on the property, in addition to improvements made on it.
Can the plaintiff offset the improvements claim with rent the defendant collected?
Yes. Section 843.09 lets the plaintiff amend the complaint to set off a claim for rents and profits the defendant enjoyed, for the period ending six years before the action was commenced and subject to the limitation in Section 843.13(1).
Does the defendant need to show good faith to bring this counterclaim?
Yes. Section 843.09 requires the defendant, or the person under whom the defendant claims, to have held adversely by color of title asserted in good faith.
What does the defendant have to prove to recover taxes paid?
Section 843.09 allows the defendant to demand the taxes paid as part of the same counterclaim for the value of improvements, without a separate showing beyond what the counterclaim already requires.
Amendment History
History: 1973 c. 189; Sup. Ct. Order, 67 Wis. 2d 585, 767, 783 (1975); Stats. 1975 s. 843.09; 1993 a. 486.
Source & verification. Section text and official notes are
reproduced verbatim from the Wisconsin Statutes, published by the
Wisconsin Legislature (Legislative Reference Bureau). Last verified July 15, 2026.
· Official source
Also known as: wisconsin good faith improver counterclaimcolor of title improvements lawsuit wisconsincounterclaim for improvements to land wisconsin843.09 betterment claim