NO SMALL AFFAIR

THE “INNS” AND OUTS OF SMALL CLAIMS COURT

TEAM FOUR
January 17, 2019

Andrew Covner
John Dixon
Richard Hanawalt
Sonia Hehir
David Lehr
Georgianna Regnier
Jennifer Saccomano

SPECIAL GUESTS:
John Howard
Ventura Court Small Claims Adviser
Patrick Hehir
Lighting Production Supervisor
 SMALL CLAIMS COURT STATUTES

CODE OF CIVIL PROCEDURE

§ 116.110. Short title

This chapter shall be known and may be cited as “The Small Claims Act.”

§ 116.220. Jurisdiction
(a) The small claims court has jurisdiction in the following actions:
(1) Except as provided in subdivisions (c), (e), and (f), for recovery of money, if the amount of the demand does not
exceed five thousand dollars ($5,000).
(2) Except as provided in subdivisions (c), (e), and (f), to enforce payment of delinquent unsecured personal
property taxes in an amount not to exceed five thousand dollars ($5,000), if the legality of the tax is not contested by
the defendant.
(3) To issue the writ of possession authorized by Sections 1861.5 and 1861.10 of the Civil Code if the amount of the
demand does not exceed five thousand dollars ($5,000).
(4) To confirm, correct, or vacate a fee arbitration award not exceeding five thousand dollars ($5,000) between an
attorney and client that is binding or has become binding, or to conduct a hearing de novo between an attorney and
client after nonbinding arbitration of a fee dispute involving no more than five thousand dollars ($5,000) in
controversy, pursuant to Article 13 (commencing with Section 6200) of Chapter 4 of Division 3 of the Business and
Professions Code.
(5) For an injunction or other equitable relief only when a statute expressly authorizes a small claims court to award
that relief.
(b) In any action seeking relief authorized by paragraphs (1) to (4), inclusive, of subdivision (a), the court may grant
equitable relief in the form of rescission, restitution, reformation, and specific performance, in lieu of, or in addition
to, money damages. The court may issue a conditional judgment. The court shall retain jurisdiction until full payment
and performance of any judgment or order.
(c) Notwithstanding subdivision (a), the small claims court has jurisdiction over a defendant guarantor as follows:
(1) For any action brought by a natural person against the Registrar of the Contractors' State License Board as the
defendant guarantor, the small claims jurisdictional limit stated in Section 116.221 shall apply.
(2) For any action against a defendant guarantor that does not charge a fee for its guarantor or surety services, if
the amount of the demand does not exceed two thousand five hundred dollars ($2,500).
(3) For any action brought by a natural person against a defendant guarantor that charges a fee for its guarantor or
surety services, if the amount of the demand does not exceed six thousand five hundred dollars ($6,500).
(4) For any action brought by an entity other than a natural person against a defendant guarantor that charges a fee
for its guarantor or surety services or against the Registrar of the Contractors' State License Board as the defendant
guarantor, if the amount of the demand does not exceed four thousand dollars ($4,000).
(d) In any case in which the lack of jurisdiction is due solely to an excess in the amount of the demand, the excess
may be waived, but any waiver is not operative until judgment.
(e) Notwithstanding subdivision (a), in any action filed by a plaintiff incarcerated in a Department of Corrections and
Rehabilitation facility, the small claims court has jurisdiction over a defendant only if the plaintiff has alleged in the
complaint that he or she has exhausted his or her administrative remedies against that department, including
compliance with Sections 905.2 and 905.4 of the Government Code. The final administrative adjudication or
determination of the plaintiff's administrative claim by the department may be attached to the complaint at the time
of filing in lieu of that allegation.
(f) In any action governed by subdivision (e), if the plaintiff fails to provide proof of compliance with the requirements
of subdivision (e) at the time of trial, the judicial officer shall, at his or her discretion, either dismiss the action or
continue the action to give the plaintiff an opportunity to provide that proof.
(g) For purposes of this section, “department” includes an employee of a department against whom a claim has
been filed under this chapter arising out of his or her duties as an employee of that department.

§ 116.221. Additional jurisdiction

In addition to the jurisdiction conferred by Section 116.220, the small claims court has jurisdiction in an action
brought by a natural person, if the amount of the demand does not exceed ten thousand dollars ($10,000),
except as otherwise prohibited by subdivision (c) of Section 116.220 or subdivision (a) of Section 116.231.

§ 116.231. Limitation on number of actions filed each year; demand amount;

exceptions
(a) Except as provided in subdivision (d), no person may file more than two small claims actions in which the
amount demanded exceeds two thousand five hundred dollars ($2,500), anywhere in the state in any calendar year.
(b) Except as provided in subdivision (d), if the amount demanded in any small claims action exceeds two thousand
five hundred dollars ($2,500), the party making the demand shall file a declaration under penalty of perjury attesting
to the fact that not more than two small claims actions in which the amount of the demand exceeded two thousand
five hundred dollars ($2,500) have been filed by that party in this state within the calendar year.
(c) The Legislature finds and declares that the pilot project conducted under the authority of Chapter 1196 of the
Statutes of 1991 demonstrated the efficacy of the removal of the limitation on the number of actions public entities
may file in the small claims courts on claims exceeding two thousand five hundred dollars ($2,500).
(d) The limitation on the number of filings exceeding two thousand five hundred dollars ($2,500) does not apply to
filings where the claim does not exceed five thousand dollars ($5,000) that are filed by a city, county, city and
county, school district, county office of education, community college district, local district, or any other local public
entity. If any small claims action is filed by a city, county, city and county, school district, county office of education,
community college district, local district, or any other local public entity pursuant to this section, and the defendant
informs the court either in advance of the hearing by written notice or at the time of the hearing, that he or she is
represented in the action by legal counsel, the action shall be transferred out of the small claims division. A city,
county, city and county, school district, county office of education, community college district, local district, or any
other local public entity may not file a claim within the small claims division if the amount of the demand exceeds five
thousand dollars ($5,000).

§ 116.240. Temporary judges

(a) With the consent of the parties who appear at the hearing, the court may order a case to be heard by a
temporary judge who is a member of the State Bar, and who has been sworn and empowered to act until final
determination of the case.

(b) Prior to serving as a temporary judge in small claims court, on and after July 1, 2006, and at least every three
years thereafter, each temporary judge shall take the course of study offered by the courts on ethics and substantive
law under rules adopted by the Judicial Council. The course shall include, but not be limited to, state and federal
consumer laws, landlord-tenant law along with any applicable county specific rent deposit law, the state and federal
Fair Debt Collection Practices Acts, 1 the federal Truth in Lending Act, 2 the federal Fair Credit Billing Act, 3 the
federal Electronic Fund Transfer Act, 4 tort law, and contract law, including defenses to contracts and defenses to
debts. On substantive law, the courts may receive assistance from the Department of Consumer Affairs, to the
extent that the department is fiscally able to provide that assistance.

§ 116.340. Service of claim and order on defendant

(a) Service of the claim and order on the defendant may be made by any one of the following methods:
(1) The clerk may cause a copy of the claim and order to be mailed to the defendant by any form of mail providing
for a return receipt.
(2) The plaintiff may cause a copy of the claim and order to be delivered to the defendant in person.
(3) The plaintiff may cause service of a copy of the claim and order to be made by substituted service as provided
in subdivision (a) or (b) of Section 415.20 without the need to attempt personal service on the defendant. For these
purposes, substituted service as provided in subdivision (b) of Section 415.20 may be made at the office of the
sheriff or marshal who shall deliver a copy of the claim and order to any person authorized by the defendant to
receive service, as provided in Section 416.90, who is at least 18 years of age, and thereafter mailing a copy of the
claim and order to the defendant's usual mailing address.
(4) The clerk may cause a copy of the claim to be mailed, the order to be issued, and a copy of the order to be
mailed as provided in subdivision (b) of Section 116.330.
(b) Service of the claim and order on the defendant shall be completed at least 15 days before the hearing date if
the defendant resides within the county in which the action is filed, or at least 20 days before the hearing date if the
defendant resides outside the county in which the action is filed.
(c) Proof of service of the claim and order shall be filed with the small claims court at least five days before the
hearing.
(d) Service by the methods described in subdivision (a) shall be deemed complete on the date that the defendant
signs the mail return receipt, on the date of the personal service, as provided in Section 415.20, or as established by
other competent evidence, whichever applies to the method of service used.
(e) Service shall be made within this state, except as provided in subdivisions (f) and (g).
(f) The owner of record of real property in California who resides in another state and who has no lawfully
designated agent in California for service of process may be served by any of the methods described in this section
if the claim relates to that property.
(g) A nonresident owner or operator of a motor vehicle involved in an accident within this state may be served
pursuant to the provisions on constructive service in Sections 17450 to 17461, inclusive, of the Vehicle Code without
regard to whether the defendant was a nonresident at the time of the accident or when the claim was filed. Service
shall be made by serving both the Director of the California Department of Motor Vehicles and the defendant, and
may be made by any of the methods authorized by this chapter or by registered mail as authorized by Section
17454 or 17455 of the Vehicle Code.
(h) If an action is filed against a principal and his or her guaranty or surety pursuant to a guarantor or suretyship
agreement, a reasonable attempt shall be made to complete service on the principal. If service is not completed on
the principal, the action shall be transferred to the court of appropriate jurisdiction.

§ 116.360. Counterclaims
(a) The defendant may file a claim against the plaintiff in the same action in an amount not to exceed the
jurisdictional limits stated in Sections 116.220, 116.221, and 116.231. The claim need not relate to the same subject
or event as the plaintiff's claim.
(b) The defendant's claim shall be filed and served in the manner provided for filing and serving a claim of the
plaintiff under Sections 116.330 and 116.340.
(c) The defendant shall cause a copy of the claim and order to be served on the plaintiff at least five days before the
hearing date, unless the defendant was served 10 days or less before the hearing date, in which event the
defendant shall cause a copy of the defendant's claim and order to be served on the plaintiff at least one day before
the hearing date.

§ 116.370. Venue; court location; challenges to venue or court location

(a) Venue and court location requirements in small claims actions shall be the same as in other civil actions. The
court may prescribe by local rule the proper court locations for small claims actions.
(b) A defendant may challenge venue or court location by writing to the court and mailing a copy of the challenge to
each of the other parties to the action, without personally appearing at the hearing.
(c) In all cases, including those in which the defendant does not either challenge venue or court location or appear
at the hearing, the court shall inquire into the facts sufficiently to determine whether venue and court location
are proper, and shall make its determination accordingly.
(1) If the court determines that the action was not commenced in the proper venue, the court, on its own motion,
shall dismiss the action without prejudice, unless all defendants are present and agree that the action may be
heard. If the court determines that the action was not commenced in the proper court location, the court may
transfer the action to a proper location pursuant to local rule.
(2) If the court determines that the action was commenced in the proper venue and court location, the court may
hear the case if all parties are present. If the defendant challenged venue or court location and all parties are not
present, the court shall postpone the hearing for at least 15 days and shall notify all parties by mail of the court's
decision and the new hearing date, time, and place.
 § 116.390. Counterclaims in excess of jurisdictional limit; transfer of claims
(a) If a defendant has a claim against a plaintiff that exceeds the jurisdictional limits stated in Sections
116.220, 116.221, and 116.231, and the claim relates to the contract, transaction, matter, or event which is the
subject of the plaintiff's claim, the defendant may commence an action against the plaintiff in a court of competent
jurisdiction and request the small claims court to transfer the small claims action to that court.
(b) The defendant may make the request by filing with the small claims court in which the plaintiff commenced the
action, at or before the time set for the hearing of that action, a declaration stating the facts concerning the
defendant's action against the plaintiff with a true copy of the complaint so filed by the defendant against the plaintiff.
The defendant shall cause a copy of the declaration and complaint to be personally delivered to the plaintiff at or
before the time set for the hearing of the small claims action.
(c) In ruling on a motion to transfer, the small claims court may do any of the following: (1) render judgment on the
small claims case prior to the transfer; (2) not render judgment and transfer the small claims case; (3) refuse to
transfer the small claims case on the grounds that the ends of justice would not be served. If the small claims action
is transferred prior to judgment, both actions shall be tried together in the transferee court.
(d) When the small claims court orders the action transferred, it shall transmit all files and papers to the transferee
court.
(e) The plaintiff in the small claims action shall not be required to pay to the clerk of the transferee court any
transmittal, appearance, or filing fee unless the plaintiff appears in the transferee court, in which event the plaintiff
shall be required to pay the filing fee and any other fee required of a defendant in the transferee court. However, if
the transferee court rules against the plaintiff in the action filed in that court, the court may award to the defendant in
that action the costs incurred as a consequence of the transfer, including attorney's fees and filing fees.

§ 116.510. Informal hearing

The hearing and disposition of the small claims action shall be informal, the object being to dispense justice
promptly, fairly, and inexpensively.

§ 116.520. Evidence; witnesses

(a) The parties have the right to offer evidence by witnesses at the hearing or, with the permission of the court, at
another time.
(b) If the defendant fails to appear, the court shall still require the plaintiff to present evidence to prove his or her
claim.
(c) The court may consult witnesses informally and otherwise investigate the controversy with or without notice to
the parties.

§ 116.530. Appearance by attorney; restrictions

(a) Except as permitted by this section, no attorney may take part in the conduct or defense of a small claims action.
(b) Subdivision (a) does not apply if the attorney is appearing to maintain or defend an action in any of the following
capacities:
(1) By or against himself or herself.
(2) By or against a partnership in which he or she is a general partner and in which all the partners are attorneys.
(3) By or against a professional corporation of which he or she is an officer or director and of which all other officers
and directors are attorneys.
(c) Nothing in this section shall prevent an attorney from doing any of the following:
(1) Providing advice to a party to a small claims action, either before or after the commencement of the action.
(2) Testifying to facts of which he or she has personal knowledge and about which he or she is competent to testify.
(3) Representing a party in an appeal to the superior court.
(4) Representing a party in connection with the enforcement of a judgment.
 § 116.531. Experts; assistance; testimony
Nothing in this article shall prevent a representative of an insurer or other expert in the matter before the small
claims court from rendering assistance to a party in the litigation except during the conduct of the hearing, either
before or after the commencement of the action, unless otherwise prohibited by law; nor shall anything in this article
prevent those individuals from testifying to facts of which they have personal knowledge and about which they are
competent to testify.

§ 116.610. Damages; equitable relief; several judgment; costs; entry of judgment

(a) The small claims court shall give judgment for damages, or equitable relief, or both damages and equitable relief,
within the jurisdictional limits stated in Sections 116.220, 116.221, and 116.231, and may make any orders as to
time of payment or otherwise as the court deems just and equitable for the resolution of the dispute.
(b) The court may, at its discretion or on request of any party, continue the matter to a later date in order to permit
and encourage the parties to attempt resolution by informal or alternative means.
(c) The judgment shall include a determination whether the judgment resulted from a motor vehicle accident on a
California highway caused by the defendant's operation of a motor vehicle, or by the operation by some other
individual, of a motor vehicle registered in the defendant's name.
(d) If the defendant has filed a claim against the plaintiff, or if the judgment is against two or more defendants, the
judgment, and the statement of decision if one is rendered, shall specify the basis for and the character and amount
of the liability of each of the parties, including, in the case of multiple judgment debtors, whether the liability of each
is joint or several.
(e) If specific property is referred to in the judgment, whether it be personal or real, tangible or intangible, the
property shall be identified with sufficient detail to permit efficient implementation or enforcement of the judgment.
(f) In an action against several defendants, the court may, in its discretion, render judgment against one or more of
them, leaving the action to proceed against the others, whenever a several judgment is proper.
(g)(1) The prevailing party is entitled to the costs of the action, including the costs of serving the order for the
appearance of the defendant.
(2) Notwithstanding paragraph (1) of this subdivision and subdivision (b) of Section 1032, the amount of the small
claims court fee paid by a party pursuant to subdivision (c) of Section 116.230 that exceeds the amount that would
have been paid if the party had paid the fee pursuant to subdivision (b) of Section 116.230 shall not be recoverable
as costs.
(h) When the court renders judgment, the clerk shall promptly deliver or mail notice of entry of the judgment to the
parties, and shall execute a certificate of personal delivery or mailing and place it in the file.
(i) The notice of entry of judgment shall be on a form approved or adopted by the Judicial Council.

§ 116.710. Right to appeal

(a) The plaintiff in a small claims action shall have no right to appeal the judgment on the plaintiff's claim, but a
plaintiff who did not appear at the hearing may file a motion to vacate the judgment in accordance with Section
116.720.
(b) The defendant with respect to the plaintiff's claim, and a plaintiff with respect to a claim of the defendant, may
appeal the judgment to the superior court in the county in which the action was heard.
(c) With respect to the plaintiff's claim, the insurer of the defendant may appeal the judgment to the superior court in
the county in which the matter was heard if the judgment exceeds two thousand five hundred dollars ($2,500) and
the insurer stipulates that its policy with the defendant covers the matter to which the judgment applies.
(d) A defendant who did not appear at the hearing has no right to appeal the judgment, but may file a motion to
vacate the judgment in accordance with Section 116.730 or 116.740 and also may appeal the denial of that motion.

§ 116.770. Hearing de novo

(a) The appeal to the superior court shall consist of a new hearing before a judicial officer other than the judicial
officer who heard the action in the small claims division.
(b) The hearing on an appeal to the superior court shall be conducted informally. The pretrial discovery procedures
described in Section 2019.010 are not permitted, no party has a right to a trial by jury, and no tentative decision or
statement of decision is required.
(c) Article 5 (commencing with Section 116.510) on hearings in the small claims court applies in hearings on appeal
in the superior court, except that attorneys may participate.
(d) The scope of the hearing shall include the claims of all parties who were parties to the small claims action at the
time the notice of appeal was filed. The hearing shall include the claim of a defendant that was heard in the small
claims court.
(e) The clerk of the superior court shall schedule the hearing for the earliest available time and shall mail written
notice of the hearing to the parties at least 14 days prior to the time set for the hearing.
(f) The Judicial Council may prescribe by rule the practice and procedure on appeal and the time and manner in
which the record on appeal shall be prepared and filed.

§ 116.870. Claims for damages resulting from a traffic accident; suspension of

privilege to operate motor vehicle upon failure to satisfy judgment
(a) Sections 16250 to 16381, inclusive, of the Vehicle Code, regarding the suspension of the judgment debtor's
privilege to operate a motor vehicle for failing to satisfy a judgment, apply if the judgment (1) was for damage to
property in excess of one thousand dollars ($1,000) or for bodily injury to, or death of, a person in any amount, and
(2) resulted from the operation of a motor vehicle upon a California highway by the defendant, or by any other
person for whose conduct the defendant was liable, unless the liability resulted from the defendant's signing the
application of a minor for a driver's license.
(b) This section shall become operative on January 1, 2017.

§ 664.6. Entry of judgment pursuant to terms of stipulation for settlement

If parties to pending litigation stipulate, in a writing signed by the parties outside the presence of the court or orally
before the court, for settlement of the case, or part thereof, the court, upon motion, may enter judgment pursuant to
the terms of the settlement. If requested by the parties, the court may retain jurisdiction over the parties to enforce
the settlement until performance in full of the terms of the settlement..

Vehicle Code § 16370. Judgment unsatisfied

The department shall suspend the privilege of any person to operate a motor vehicle upon receiving a certified copy
of a judgment, or a certified copy of the register of actions (or a comparable court record of another jurisdiction) in
an action resulting in a judgment for damages, and a certificate of facts relative to the judgment, on a form provided
by the department, indicating that the person has failed for a period of 30 days to satisfy a judgment rendered
against him or her.