Whether you need to collect on unpaid rent, resolve a dispute over services provided or need to settle a consumer conflict, small claims is meant to be a fast and inexpensive way of going about it. But before filing your claim, it is important to understand small claims charges and who is on the hook for paying them.
What Are Small Claims Charges?
Small claims charges cover the fees you’ll need to pay when you file a case in a small claims court. These fees are to help the court cover the administrative costs involved with the case, from the work that court clerks perform to setting up a court schedule to hear the case. The exact costs that you’ll pay can vary depending on where you live, though one main factor that determines the cost is how much money you’re trying to claim. No matter where you live, you’ll find that the costs start off at something as low as £35. They “climb” from there based on the value of the claim you’re making, reaching as high as £455 for claims with the highest values.
There could also be other costs that pop up if you need to pay for a process server, obtain an order to enforce a judgment, ask for a warrant after the defendant fails to pay and so forth. While the court can be useful for many and is designed to be user-friendly, the budget-minded will still find that filing in a small claims court has some costs associated with it that may make it prohibitively expensive, particularly for those already in lean financial straits.
Who Pays for the Charges?
Charges are usually incurred by the person bringing the claim (the claimant) up front. If the claimant successfully obtains a judgment, they may, in turn, ask for the defendant to pay the fee, but relying on the court to order that you be reimbursed is not ideal. Even if you win, you may not get reimbursed if the defendant is unable to pay the costs.
To help individuals on low incomes or certain benefits meet the cost of bringing their claim, many courts have remission schemes in place. Be sure to check whether you are eligible before you apply.
Why Understanding Charges Matters
There’s more to knowing your small claims court fees than simply understanding the bottom line price you’ll pay. A case may have merit, but if it will cost you more to file the lawsuit and attempt to enforce the judgment than you may be able to recover, it’s generally not wise to file a lawsuit. In addition, many matters that would otherwise end up as small claims cases can be resolved through alternative dispute resolution options, such as mediation, at a much lower cost in time and money.
Final Word
Small claims court can be a cheaper way of seeking justice, but it’s not completely free. Knowing about small claims charges can help you know what to expect and make sure you’re in a position to bring your case to court. If you’re not sure, go to your local Citizens Advice Bureau or see a solicitor to get help deciding what to do.