Small Claims Court: Understanding Applicable Laws In California

Small claims courts in California are a quick and inexpensive way to resolve disputes. The rules are simplified and the hearing is informal. Attorneys are generally not allowed, and the person who files the claim (the plaintiff) must represent themselves. The plaintiff must pay a fee to the clerk of the court when filing, and this fee depends on the amount being claimed. Individuals can claim up to $10,000, while businesses and other entities are limited to $5,000. There are some exceptions to these limits, and special rules may apply in certain situations. It is important to research the relevant laws and procedures before filing a claim in small claims court.

Monetary limits for claims

The monetary limit for claims in small claims court in California is generally $12,500, or $6,250 if you're a business. However, this limit varies depending on the specific circumstances of the case and the type of entity involved.

For individuals, also known as natural persons, the limit is $10,000, while corporations, partnerships, unincorporated associations, governmental bodies, and other legal entities are limited to claims of $5,000 or less.

In the case of COVID-19 rental debt, there is no limit to the amount that can be claimed, and this exception will remain in place until October 1, 2025.

It's important to note that there are also restrictions on the number of claims an individual can file within a calendar year. A claimant, whether a natural person or a legal entity, cannot file more than two small claims court actions for more than $2,500 anywhere in California during the same calendar year. However, this restriction does not apply to local public entities, such as cities, counties, school districts, or community college districts, which can bring more than two lawsuits over $2,500 within a year.

The filing fees for small claims court in California also depend on the amount of the claim. For claims of $1,500 or less, the fee is $30, while claims between $1,500 and $5,000 incur a $50 fee. Claims exceeding $5,000 have a filing fee of $75. If a plaintiff has filed more than 12 small claims actions in California within the previous 12 months, the fee increases to $100 for each subsequent case.

Who can file a claim

In California, small claims courts allow individuals to sue a person, business, or government agency that they believe owes them money. The plaintiff, or person filing the claim, can be any individual or business entity. However, there are some restrictions on who can file a claim in small claims court.

Firstly, the plaintiff must be at least 18 years old or legally emancipated, and mentally competent. If the plaintiff is under 18 and not legally emancipated, or has been declared mentally incompetent by a court, they must be represented by a Guardian ad Litem, typically one of their parents.

Secondly, the plaintiff must be seeking to recover money, with the amount typically not exceeding $5,000. Natural persons (individuals) can claim up to $10,000, while corporations, partnerships, unincorporated associations, governmental bodies, and other legal entities are limited to claims of $5,000 or less.

It is important to note that a claimant, whether a natural person or legal entity, may not file more than two small claims court actions for more than $2,500 anywhere in California during a calendar year. However, this limitation does not apply to local public entities, such as a city, county, school district, or community college district, which can bring more than two lawsuits over $2,500 in a year.

Additionally, the plaintiff must be prepared to represent themselves in court, as attorneys or non-attorney representatives are generally not allowed in small claims court. However, there are some exceptions to this rule, such as when the court determines that the plaintiff is unable to properly present their claim and allows another individual to assist them.

The small claims court process in California offers a quicker and more affordable way to resolve disputes, with simplified rules and informal hearings. The filing fees for small claims court in California range from $30 to $100, depending on the amount of the claim.

Filing fees

The fee for filing in small claims court in California depends on the amount of the claim. If the claim is for $1,500 or less, the filing fee is $30. If the claim is for more than $1,500 but less than or equal to $5,000, the fee is $50. If the claim exceeds $5,000, the fee is $75. These fees are paid by the plaintiff to the clerk of the small claims court.

If a plaintiff has filed more than 12 small claims actions in California within the previous 12 months, the filing fee for each subsequent case is $100. Multiple filers who win their case and are granted court costs may only recover the same amount of court costs that non-multiple filers would receive, not the $100 that was paid. For example, if a multiple filer sued for $1,400 and won a judgment for $1,400, the court will grant that filer court costs (filing fee) of $30, not the $100 that was paid to the clerks.

If you cannot afford the filing fee, you can ask the court for a fee waiver. To do this, file a 'Request to Waive Court Fees' form with the Clerk's office. The court may require you to include personal financial information to consider your request.

Appealing a judgement

If you were sued in a small claims case and the judge decided you owe money, you can challenge that decision by filing an appeal if you don't agree. However, it is important to note that only the defendant can appeal a judge's decision when they owe money. The only exception to this is if the plaintiff loses on the defendant's claim, in which case they can also appeal the decision.

To file an appeal, you must submit a Notice of Appeal (Small Claims) (form SC-140) within 30 days of the judgment being handed to you or mailed out. You will need to make two copies of the notice and submit them, along with the filing fee, to the court clerk. If you cannot afford the fee, you can request a fee waiver. The clerk will then provide you with a new court date and mail a copy of the form with the new court date to the other party.

At the new trial, both parties may be represented by an attorney. The new judge will hear the case as if it were a new trial, so you should be prepared to present your case in full again, including any new evidence, witnesses, and documents. If you are the defendant and lost on the plaintiff's claim, or if you are the plaintiff and lost on the defendant's claim, the judge will enter new judgments on both cases.

If you win your appeal, you can ask the judge to award your court costs and up to $150 in attorney fees. The judgment is final, and you can try to collect using available collection procedures. However, if you lose your appeal, you cannot appeal any further. You must pay the judgment to the other party, plus interest, court costs, and potentially their attorney fees as well.

Mediation

In California, many counties offer free or low-cost mediation services through their small claims courts, either before the hearing or on the day of the hearing. Additionally, the Department of Consumer Affairs keeps a list of local mediation programs, and mediators can also be found online or through local bar associations.

Frequently asked questions