Most cases can be heard in Small Claims Court provided
the amount of money or the value of the goods or services involved is
$10,000 or less (interest not included). Before deciding to use the court
to settle a dispute, consider that court proceedings are costly and time
consuming. You may want to try to reach a compromise out of court.
How much will it cost?
Starting your action will cost $100 for suits up to $3000
and $156 for suits of $3000 up to $10000 plus the cost of serving the
defendant with a summons. The claimant may serve the Notice of Claim or
may have another adult serve it. Fees for personal service by a private
process server start at about $25, depending on the current rates and
on the distance that must be travelled. Later, there may be other costs
for such things as serving garnisheeing orders, judgement summons, payments
to witnesses and travelling expenses. If you decide to hire a lawyer,
fees will depend on the lawyers hourly rate and the complexity of
the case; expect to spend at least $400 if your case goes to court. You
cannot claim your lawyers fees against the defendant.
How much do you get back if you win?
If you win, the judge will usually award your filing
fee, your service costs, nominal fee for your witnesses and the amount
found to be owing to you. If you have travelling costs or expert witness
fees to pay, the judge might also award these costs if you ask for them.
You will not recover anything for time lost from work or for your lawyers
costs, but neither do you have to pay for the defendants time or
lawyer if you lose. Also keep in mind that it may be difficult to collect
your judgement if the defendant does not have sufficient funds.
What does the registry do and what do you have to do
yourself?
The registry supplies you with necessary forms and the
information needed to fill them out but you are responsible for the paperwork.
Arranging for service, contacting witnesses, preparing your case, and
presenting your case in court are also your responsibilities. Once you
have a judgement, you may have to take further steps to collect. The registry
staff can give you information on how to do these things, but cannot give
you legal advice.
Should you hire a lawyer?
Many people have successfully conducted their own cases
in Small Claims Court without prior experience. Knowledge of the law is
not expected of litigants, but the rules of the court must be followed.
There may be more to do than you first expect. A lawyer will make the
process much easier for you, but the cost of hiring one usually means
that its only worthwhile for the larger claims.
Where do you go to start your case?
You can start a small claims case by filing a summons
at any Provincial Court (Small Claims) registry in BC. There are certain
rules, however, about where your trial must take place. If a Small Claims
Court exists in a municipality where the claim arose or where the defendant
or one of the defendants lives or carries on business, the trial must
be heard there. If there is more than one, you have a choice. If there
is no such court, then the trial must be heard at the Court closest to
where the defendant lives or carries on business or the court closest
to where the cause of action rose. You can have the trial heard in any
Small Claims Court in the province if the defendant appears at the trial
and consents to having the trial heard in that court.
What do you need to know to start a suit?
To start your small claims suit, you must know who you
should sue. First, determine who the appropriate defendants are. For example,
in most motor vehicle claims, you should sue both the driver and the registered
owner of the vehicle involved.
Make sure you have the defendants correct name
and an address within British Columbia where he or she can be served with
the summons. This may be either a home or business address. If the defendant
lives and carries on business outside British Columbia, you will need
a special court order.
Check whether the defendant is incorporated as a limited
company or if the defendant is considered a business under the law. A
limited company is usually registered in Victoria and its name ends in
"Limited" ("Ltd."), "Corporation" ("Corp."),
or "Incorporated" ("Inc."), or an equivalent in French.
If you are not sure, request a company search from:
Give the name of the firm involved and enclose a cheque
or money order for $10, payable to the Minister of Finance and Corporate
Relations. If it is not incorporated you should sue the proprietor of
the business as well as the business itself. Keep the search information;
it can be useful later on. If the defendant is a limited company, find
out the correct legal name and registered office address.
What happens after you start the suit?
After the summons is filed in the Small Claims Court
registry and served on the defendant, the defendant has 14 days to file
a notice of intention to dispute your claim. If the defendant disputes
it, the registry sets a date for a settlement conference and both sides
are notified. If the defendant does not dispute your claim but does not
pay, you may apply to the registrar of the court for a judgement by default
order. If you are suing for damages, you will have to go before a judge
to prove the amount to which you are entitled. Trials are held before
a provincial court judge. If you are awarded judgement at trial or by
default, you may still have to take enforcement proceedings through the
court to collect the money owing.