Introduction
If a company owes you money, delivered faulty goods, or breached a contract, you can take legal action through small claims court. Designed for straightforward disputes, small claims court allows you to resolve issues quickly without the need for extensive legal representation.
This guide outlines how to make a small claim against a company, including preparing your case, filing the claim, and presenting your argument in court.
1. Determine If You Have a Valid Claim
Before filing, ensure your case meets the following criteria:
- Monetary Limit: The claim amount must fall within the maximum allowed for small claims court in your jurisdiction.
- United States: $5,000–$10,000 (varies by state).
- Canada: $5,000–$35,000 (varies by province).
- United Kingdom: £10,000.
- Eligible Cases: Common claims include:
- Unpaid invoices or debts.
- Faulty goods or services.
- Breach of contract.
- Security deposit disputes.
- Jurisdiction: File in the location where the company operates or where the incident occurred.
2. Try to Resolve the Issue Before Filing
Small claims court often requires you to attempt resolution before filing. Steps include:
- Contact the Company Directly: Discuss the issue with the company’s customer service or management.
- Send a Demand Letter: Outline the problem, your desired resolution, and a deadline for response.
- Consider Mediation: Use a neutral third party to facilitate a settlement.
3. Gather Information and Evidence
To strengthen your case, collect the following:
- Company Details:
- Legal name and registered address.
- Business registration information (check local business registries).
- Documentation:
- Contracts, invoices, and receipts.
- Emails, letters, or other correspondence with the company.
- Photos or videos showing defective products or damages.
- Witness Statements: If applicable, obtain statements from witnesses who can support your claim.
4. File Your Small Claim
Step 1: Obtain the Necessary Forms
- Visit your local small claims court or its website to download the required forms, such as a Complaint Form or Notice of Claim.
Step 2: Complete the Forms
- Fill out the forms accurately, providing details about:
- The plaintiff (your information).
- The defendant (company information).
- The claim amount and reason.
Step 3: Submit the Claim
- File the completed forms with the court clerk in the appropriate jurisdiction.
- Pay the filing fee, which typically ranges from $20 to $300, depending on the claim amount and location.
5. Notify the Company
After filing, the court requires the company to be notified of the claim through service of process.
- Certified Mail: The court or you send the notice by certified mail with a return receipt.
- Process Server: A professional delivers the notice to the company.
- Sheriff’s Service: The sheriff’s office serves the notice (additional fees apply).
Proof of service must be submitted to the court before the hearing.
6. Prepare for the Hearing
Organize Evidence
- Arrange documents in chronological order to present a clear narrative.
- Highlight key points that support your claim.
Practice Your Argument
- Rehearse a concise explanation of your claim, focusing on facts and evidence.
Bring Witnesses
- If applicable, bring witnesses who can provide testimony to strengthen your case.
7. Attend the Hearing
Check In Early
- Arrive at the courthouse at least 30 minutes before the scheduled time.
Present Your Case
- Explain the issue clearly, submit evidence, and call witnesses if necessary.
- Respond to questions from the judge and counterarguments from the company.
Judge’s Decision
- The judge may issue a decision immediately or notify both parties later.
8. Enforcing a Judgment
If you win your case and the company doesn’t pay voluntarily, you may need to take additional steps to enforce the judgment:
- Wage Garnishment: If the company is a sole proprietorship, you may garnish wages from the owner.
- Bank Account Levy: Request funds to be taken from the company’s account.
- Property Lien: Place a lien on the company’s property if applicable.
9. Frequently Asked Questions
1. Can I sue a company in small claims court?
Yes, as long as the claim falls within the monetary limits and jurisdiction of the court.
2. Do I need a lawyer to file a claim against a company?
No, small claims court is designed for self-representation, though legal advice may be helpful.
3. What happens if the company doesn’t respond?
The court may issue a default judgment in your favor.
4. How long does the process take?
Most small claims cases are resolved within 30–90 days, depending on court schedules.
5. Can I recover court costs if I win?
Yes, the court may award you filing and service fees as part of the judgment.
10. Conclusion
Making a small claim against a company is an effective way to resolve disputes over money or property without incurring significant legal expenses. By gathering evidence, filing correctly, and presenting your case confidently, you can seek a fair resolution in small claims court. If you’ve attempted to resolve the issue outside of court without success, small claims court offers a practical path to justice.