How does Small Claims Court work or What do I do?
- Try to settle your claim out of court. - do this by enforcing your credit policy and asking the person to pay. Seems obvious but you cannot sue someone without having made a bona fida collection effort before hand.
- Check your local courthouse for the maximum amounts. - each state is different so make sure you can sue in small claims court otherwise you may need to file a civil suit.
- Check the court location - the claims should be filed in the district court where either you or the customer resides. If your customer is not a resident of your town or state (internet order perhaps) your claim may be filed in the court of any town or district where the customer, in person or through an agent transacts business, makes a contract, or uses or possesses any real property.
- Take the forms home with you before filling them out so you can become familiar with them. - You will need to fill out a Small Claims Complaint form, this includes:
Typing or printing on the small claims form
Completing the plaintiff section (your name & legal mailing address)
Enter a brief explanation of what happened and why you are sueing, include any facts here that pertain to your claim
Enter the amount of money you are sueing for; be sure to include any costs, such as court costs or bank fees if it was a bad check for example
Complete the exact name, address and phone for the person you are sueing under the portion marked DEFENDANT.
NOTE: If you are sueing a corporation you must provide the name and address of the corporate officer or registered agent, if you don't know this information call your Secretary of States Office.
- Complete the Military Affidavit, instructions are normally on the back of the form
- The filing fee is different in each court, in Plymouth NH, it is $55.00 and there are sometimes additional processing fees. The court will advise you of any additional fees.
- Submit these papers to the court, after you keep a copy for yourself.
the court will then send the defendant a copy of the complaint by certified mail.
Within 30 days of this mailing date, a hearing to contest the claim can be requested by the defendant. If this happens, you will be notified by mail by the court of a hearing date.
If the defendant does not request a hearing then a default judgement will be entered in your favor. This notice will be mailed to you and your customer who will then have 30 days to pay it in full.
- When a hearing is requested take ALL paperwork with you in regards to this customer, take their entire folder, to show a history and any paperwork that pertains to this balance due. THIS IS VERY IMPORTANT!
- You can also bring witnesses who might explain why you are owed this money, maybe a sales man who made the sale or the person who took the order.
- NEVER SPEAK unless the judge asks you to speak. The judge will ask you why you feel this person owes you money.
- The judge will hear both sides and make a decision within 14 days.
- If the defendant does not show up for the hearing you will be granted a judgement by default.
- If you fail to appear at the hearing, the case will be dismissed.
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