Michigan Small Claims Court Laws
Civil disputes up to $3,000 can be settled in small claims court without legal counsel, as attorneys are not allowed in small claims court in Michigan. While some benefits of settling a dispute in small claims court can be realized, such as a quick decision, there are downsides as well, since both the plaintiff and defendant waive some of their rights. (Ref. 2)
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How To Begin
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Filing a lawsuit begins with filing an "affidavit and claim for" with the district court in the city or county where the dispute took place or where the business is located. The form is available at the district court or online. (Ref. 1)
Fees
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Before the suit is officially filed the plaintiff, the person starting the proceedings, is responsible for paying filing fees to the court. Michigan courts base the fee on the amount of the claim rather than a set amount. As of 2010, the filing fees range from $25 (claims up to $600) to $65 (claims up to $3,000). Other reasonable fees, such as photocopying, postage or service fees may also be included; when filing the claim, ask the court clerk for an estimation of these extra expenses. (Ref. 1)
Michigan allows the plaintiff to recover all court costs and fees associated with the claim when the judge rules against the defendant. (Ref. 1)
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Notification
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Once the affidavit and claim have been officially filed, the district court will deliver notification to the defendant about the case. Michigan Complied Laws dictate the notice includes the cause for the hearing, date, time and location of the hearing date and is delivered at least seven days before the appearance date. (Ref. 1 & 3)
Removing a Claim
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In Michigan, a small claims court case can be moved to the District Court simply by filing "Demand For Removal" form. Bumping a case to District Court gives both the plaintiff and the defendant more rights in the judicial process, but it also will take longer to get a date than in small claims court. In a District Court hearing, all parties have the right to an attorney, a jury trial and the right to appeal the decision with seven days of the trial. (Ref. 2)
Judgment
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If the judge determines the defendant is at fault and owes the plaintiff money, a money judgment will be issued at the conclusion of the hearing. If possible, the defendant can pay the plaintiff immediately following the hearing or if necessary, payment arrangements can be made. Michigan laws allow for installment payments if a motion is filed with the court. If the defendant does not file a motion for installment payments and does not pay the judgment, the plaintiff can under Michigan laws file for garnishment from a bank account, pay check or tax returns. (Ref. 1)
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References
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