The small claims track deals with disagreement between two parties where a claim for money is £10,000 or less and is a process designed to be less formal, less complex, cheaper, and more accessible. Where claims that fall within this track are more complicated, the court may allocate it to a different track.
The rules governing the small claims track can be found at Part 27 of The Civil Procedure Rules 1998.
Claims can be issued via the Money Claims Online system or by sending a claim form to the National Civil Business Centre along with the appropriate court fee. The maximum court fee payable will be £455.00. However, if you are on a low-income you may be exempt from paying fees.
Once your claim has been served on your opponent, they then have 14 days in which to respond indicating whether they admit or wish to defend the claim.
If the claim is admitted, you can apply to the court for judgement to be entered in your favour on the basis of the admission.
If the debt is disputed, you will be provided with a copy of the defence that has been filed along with a directions questionnaire to complete. This allows you to provide the court with details of your witnesses, whether expert evidence is required, dates of availability to attend court and asks whether you would be prepared to mediate in an attempt to resolve the claim without the matter being referred to a hearing.
Once the court have received the directions questionnaires from the parties’ directions will be given instructing both parties what steps they have to take in readiness for a final hearing. This will include the preparation of witness statements, the disclosure of your documentary evidence and will give instructions regarding expert evidence if appropriate. You will also be provided with details of when the final hearing will take place.
If both parties have indicated, they are willing to mediate they will be contacted by the Small Claims Mediation Service to arrange a suitable date when an independent mediator will discuss the case with both parties and try to resolve the dispute.
In the event you are successful with your claim, there is a no costs rule in small claims matters. This means you will not be able to recover your legal fees from the loosing party. You will however be able to claim any court fees, expert’s fees, travelling and witness expenses that have been incurred.
You must ensure that you follow all court orders that are made and adhere to the strict deadlines that are given to ensure your case can proceed. If you fail to comply with the orders, you are at risk of your claim being struck out.
Full guidance about the small claims track can be found on www.justice.gov.uk. Alternatively, you can seek assistance from a solicitor.
