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How Does Small Claims Court Work?
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Small claims court often is considered to be the "people's" court. It serves as a vehicle for resolving disputes involving two or more individuals, or for individuals filing claims against businesses. Parties bringing a dispute to small claims court do not need legal representation. As a division of Superior Court, "specifically appointed" lawyers---or magistrates---listen to small-claims cases. The court does not provide an avenue for appeal. All decisions are final.
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Claims cannot exceed $5,000. The one exception is claims that involve returning a tenant's security deposit. In those cases, individuals are able to seek damages for twice the dollar amount of their deposit and any interest that has accrued. Other claims handled in small claims court include delinquent debts or rent, medical bills to cover personal injuries, breaking a written or oral agreement, property damage or a security-deposit refund. Small claims court does not hear arguments involving damages exceeding $5,000, or ones pertaining to defamation of character or the belittling of another person.
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According to the statute of limitations, an individual has 6 years to file a "lawsuit" in small claims court if the claim involves a written agreement, and 3 years for a claim involving an oral understanding. Completing a "Small Claims Writ and Notice of Suit" form is the first step in filing such a "lawsuit." Forms are available online or at any local court that hears small-claims cases.
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In small-claims-court cases, the individual taking action is the "plaintiff." The individual being "sued" is the "defendant." If the claim involves multiple plaintiffs and defendants, sufficient copies of a "Continuation of Parties" form also must be filed with the court. The exact name of the defendant must be used, whether it is an individual or a business. If the company is operating "under an assumed name," both names must be listed on the "Notice of Suit" form. For example, if Mary Smith is "doing business as" "Smith Clothing," the name on the form should read "Mary Smith trading as Smith Clothing." Abbreviations are not accepted. Other information needed to file a claim includes the defendant's address and the amount and premise of the claim.
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The plaintiff is responsible for paying the $35 fee for filing his case in small claims court, and any fees associated with serving the defendant with a warrant. Payment must be made in cash or by certified check or money order. Warrants contain the date and time of the "trial," at which time both parties are given an opportunity to plead their case. Once arguments are heard, the magistrate will enter a judgment. If the defendant fails to appear, the court rules in favor of the plaintiff. If the plaintiff is a no-show, the defendant can petition the court to rule in her favor.
eHow Article: How Does Small Claims Court Work?
