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Difference between revisions of "Being Sued in Small Claims Court"
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Being Sued in Small Claims Court (view source)
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{{REVIEWEDPLS | reviewer = [https://www.ganapathico.com/our-team/anna-kurt/ Anna Kurt], Ganapathi Law Group|date= August 2017}} {{Dial-A-Law TOC|expanded = courts}} | {{REVIEWEDPLS | reviewer = [https://www.ganapathico.com/our-team/anna-kurt/ Anna Kurt], Ganapathi Law Group|date= August 2017}} {{Dial-A-Law TOC|expanded = courts}} | ||
If a notice of claim names you as a | If a notice of claim names you as a defendant in a Small Claims Court lawsuit, learn what options you have, how to act on them, and what happens next. | ||
== | ==What you should know== | ||
===If you receive a notice of claim=== | ===If you receive a notice of claim=== | ||
If you receive a '''notice of claim''' in a Small Claims Court lawsuit naming you as a defendant, it means someone is suing you. | If you receive a '''notice of claim''' in a Small Claims Court lawsuit naming you as a defendant, it means someone is suing you. | ||
A notice of claim may be handed to you personally by the party suing you or by another person, or it can be sent to you by registered mail. If you’re hard to find, the court may order that you be notified in some other way, such as by a notice posted on your front door or an ad in the local newspaper. | A notice of claim may be handed to you personally by the party suing you or by another person, or it can be sent to you by registered mail. If you’re hard to find, the court may order that you be notified in some other way, such as by a notice posted on your front door or an ad in the local newspaper. | ||
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Once you receive the notice, '''don’t ignore it'''. If you do nothing, the other party can get a judgment against you, just as if there had been a trial. | Once you receive the notice, '''don’t ignore it'''. If you do nothing, the other party can get a judgment against you, just as if there had been a trial. | ||
You must respond to the notice of claim | You must respond to the notice of claim ''within 14 days''. (If you live outside BC, you have 30 days to respond.) You can respond by filing a '''reply''' with the court. We explain how shortly. Or you can contact the other party to make arrangements you can both live with and the other party can withdraw the claim. | ||
===If you admit the claim=== | ===If you admit the claim and intend to pay=== | ||
If you '''admit''' the claim, you can contact the other party directly and tell them. You can pay the amount claimed directly to them. | If you '''admit''' the claim, you can contact the other party directly and tell them. You can pay the amount claimed directly to them. | ||
Alternatively, you and the other party might make some arrangements you can both live with. For example, they may agree to accept a reduced amount, or a payment plan. If so, the other party can file a '''consent order''' or a '''payment order''' with the court, and the lawsuit will end. (You must also pay their expenses, such as the fees to file the claim and deliver the notice to you.) | Alternatively, you and the other party might make some arrangements you can both live with. For example, they may agree to accept a reduced amount, or a payment plan. If so, the other party can file a '''consent order''' or a '''payment order''' with the court, and the lawsuit will end. (You must also pay their expenses, such as the fees to file the claim and deliver the notice to you.) | ||
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If you admit the claim, but can’t pay the amount involved, you should file a '''reply''' to the claim. A blank reply form should have been attached to the notice of claim. If you didn’t get a blank reply form with the notice, you can get it online at [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms gov.bc.ca/smallclaims] or from any [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/courthouse-locations Small Claims Court registry]. On the reply, list the amounts you can pay and when you will pay. | If you admit the claim, but can’t pay the amount involved, you should file a '''reply''' to the claim. A blank reply form should have been attached to the notice of claim. If you didn’t get a blank reply form with the notice, you can get it online at [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms gov.bc.ca/smallclaims] or from any [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/courthouse-locations Small Claims Court registry]. On the reply, list the amounts you can pay and when you will pay. | ||
Then, '''file your reply''' with the Small Claims Court registry shown on the notice of claim. You must pay a filing fee. | Then, '''file your reply''' with the Small Claims Court registry shown on the notice of claim. You must pay a filing fee. | ||
The registry will send a copy of your reply to the other party. They will decide whether to accept your proposed payment plan. | The registry will send a copy of your reply to the other party. They will decide whether to accept your proposed payment plan. | ||
If the other party accepts your reply, you will receive a '''consent order''' to sign. It will end the lawsuit. If the other party doesn’t accept, you (or they) can ask for a '''payment hearing''', where the court will set a payment schedule. | If the other party accepts your reply, you will receive a '''consent order''' to sign. It will end the lawsuit. If the other party doesn’t accept, you (or they) can ask for a '''payment hearing''', where the court will set a payment schedule. | ||
{| class="wikitable" | {| class="wikitable" | ||
|align="left"|'''Tip''' | |align="left"|'''Tip''' | ||
You must file the reply | You must file the reply ''within 14 days'' of receiving the notice of claim. (If you live outside BC, you have 30 days to file the reply.) | ||
|} | |} | ||
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===If you ignore the claim=== | ===If you ignore the claim=== | ||
If you receive a notice of claim and do nothing, the other party can get a judgment against you, just as if there had been a trial. This is called a '''default order'''. | If you receive a notice of claim and do nothing, the other party can get a judgment against you, just as if there had been a trial. This is called a '''default order'''. | ||
After the time for you to reply has passed (14 days if you live in BC), the other party can apply to court for the default order. If their claim is for a debt, a default order may be made without a hearing. If the claim is not for a debt, the court will schedule a '''default hearing''', where a judge decides the amount you will have to pay. | After the time for you to reply has passed (14 days if you live in BC), the other party can apply to court for the default order. If their claim is for a debt, a default order may be made without a hearing. If the claim is not for a debt, the court will schedule a '''default hearing''', where a judge decides the amount you will have to pay. | ||
===If you dispute the claim and lose=== | ===If you dispute the claim and lose=== | ||
If the case goes to trial and you lose, you will have to pay the amount of the judgment, plus the other party’s fees and costs for getting the court documents to you. | If the case goes to trial and you lose, you will have to pay the amount of the judgment, plus the other party’s fees and costs for getting the court documents to you. | ||
The judge can also order you to pay an additional 10% of the amount claimed if you file a reply and go to trial when you had no reasonable chance of winning. Also, if the other party makes a '''settlement offer''' that you refuse, and the trial judgment is more than or equal to their offer, you may have to pay a penalty of up to 20% of the offer. | The judge can also order you to pay an additional 10% of the amount claimed if you file a reply and go to trial when you had no reasonable chance of winning. Also, if the other party makes a '''settlement offer''' that you refuse, and the trial judgment is more than or equal to their offer, you may have to pay a penalty of up to 20% of the offer. | ||
===If you have a claim of your own=== | ===If you have a claim of your own=== | ||
If you have your own claim against the other party relating to the matters in dispute, you can file a | If you have your own claim against the other party relating to the matters in dispute, you can file a counterclaim. There is space on the reply form for you to describe your '''counterclaim'''. If your case goes to trial, the judge will decide on both the original claim and your counterclaim. | ||
If you admit the claim, but believe the other party also owes you money for some other reason, you can file a counterclaim claiming a '''set-off'''. A set-off involves using the money the other party owes you to reduce the amount you owe them. | If you admit the claim, but believe the other party also owes you money for some other reason, you can file a counterclaim claiming a '''set-off'''. A set-off involves using the money the other party owes you to reduce the amount you owe them. | ||
Each of these options require you to pay another filing fee. | Each of these options require you to pay another filing fee. | ||
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===If you admit the claim=== | ===If you admit the claim=== | ||
If you pay the amount claimed to the other party, you should get a receipt. The other party can end the lawsuit by filing a '''notice of withdrawal'''. | If you pay the amount claimed to the other party, you should get a receipt. The other party can end the lawsuit by filing a '''notice of withdrawal'''. | ||
(These forms are available online at [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms gov.bc.ca/smallclaims].) | Alternatively, if you and the other party make arrangements you can both live with (such as you paying a reduced amount or a payment plan), the other party may file a '''consent order''' or a '''payment order'''. You will get a copy of the order, which ends the lawsuit. | ||
(These forms are available online at [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms gov.bc.ca/smallclaims].) | |||
===If you file a reply=== | ===If you file a reply=== | ||
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For most claims, the court will schedule a '''settlement conference'''. The registry will tell you the date and time for the conference. You must attend. The judge will give their opinion of the case during the conference. If the claim cannot be settled, it will go to '''trial'''. | For most claims, the court will schedule a '''settlement conference'''. The registry will tell you the date and time for the conference. You must attend. The judge will give their opinion of the case during the conference. If the claim cannot be settled, it will go to '''trial'''. | ||
You can try to resolve the claim any time before trial. If the claim is over $10,000, you or the other party can file a '''notice to mediate''', which will result in a '''mediation session'''. There, a neutral mediator will try to help you both come to an agreement on the issues. See our information on [[Going to Trial in Small Claims Court | You can try to resolve the claim any time before trial. If the claim is over $10,000, you or the other party can file a '''notice to mediate''', which will result in a '''mediation session'''. There, a neutral mediator will try to help you both come to an agreement on the issues. See our information on [[Going to Trial in Small Claims Court|going to trial in Small Claims Court]] for more on this option, as well as what happens at trial. | ||
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== | ==Who can help== | ||
===With your case=== | ===With your case=== | ||
You do not need a lawyer to go to Small Claims Court. But you'll probably better understand the process, as well as the strength of your case, if you get '''legal advice'''. If you have limited means, you might be able to get legal help from pro bono services, a student legal clinic, or an advocate. See our information on [[Free and Low-Cost Legal Help | You do not need a lawyer to go to Small Claims Court. But you'll probably better understand the process, as well as the strength of your case, if you get '''legal advice'''. If you have limited means, you might be able to get legal help from pro bono services, a student legal clinic, or an advocate. See our information on [[Free and Low-Cost Legal Help|free and low-cost legal help]]. | ||
===More information=== | ===More information=== | ||
The '''BC government''' website has how-to guides on Small Claims Court, including [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/small-claims/how-to-guides/replying-to-a-claim replying to a claim], serving documents, and getting ready for court. | The '''BC government''' website has how-to guides on Small Claims Court, including [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/small-claims/how-to-guides/replying-to-a-claim replying to a claim], serving documents, and getting ready for court. | ||
* [https://www2.gov.bc.ca/gov/content/justice/courthouse-services/small-claims/how-to-guides Visit website] | |||
The BC government’s '''Small Claims Court Filing Assistant''' walks you through the steps of completing court forms. | The BC government’s '''Small Claims Court Filing Assistant''' walks you through the steps of completing court forms. | ||
* [http://justice.gov.bc.ca/FilingAssistant/ Visit website] | |||
The '''BC Provincial Court''' website features information on Small Claims Court, as well as past court decisions. | The '''BC Provincial Court''' website features information on Small Claims Court, as well as past court decisions. | ||
* [http://www.provincialcourt.bc.ca/ Visit website] | |||
The '''Small Claims BC Online Help Guide''', from Justice Education Society, provides step-by-step information on each stage of a small claims case. | The '''Small Claims BC Online Help Guide''', from Justice Education Society, provides step-by-step information on each stage of a small claims case. | ||
* [http://www.smallclaimsbc.ca/ Visit website] | |||
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