Small claims business dispute resolution
When somebody owes your business a sum of money, trying to recoup it can sometimes be frustrating and unpleasant. Stacks can give you advice and guidance on recouping the money owed to you quickly and efficiently, so you and your business can move on.
Stacks Law Firm understands that when your business is owed money, it can still impact your business’ profitability, and that while it may be known as a 'small' sum in a legal sense, it may not be a 'small' sum of money to your business at all, particularly if you’re a small business.
We can provide advice about disputes involving small claims and ensure that your matter is handled swiftly and efficiently, so that you can get on with business as quickly as possible.
What is a ‘small claim’?
A small claim involves a claim or debt of $10,000 or less. The Small Claims Division of the Local Court deals with these matters. Claims above this amount and up to $100,000 are heard in the General Division of the Local Court.
Small claims may be for money or to recover goods that your business has provided but not been paid for.
The time limit to make a small claim in the Local Court is 6 years.
What is the process for resolving a small claims dispute?
Many small claims cases can be settled without the need for a court case. This is often a simpler, more cost effective and more amicable resolution for both parties involved. The steps for resolving these types of disputes include:
- Sending a letter of demand to the person or business who owes you money (known as the debtor)
- Negotiating with the debtor to come to an arrangement. You may consider contacting a Community Justice Centre about free mediation
- Taking the matter to court if negotiations are unsuccessful. This begins with you filling out, signing and filing a Statement of Claim form at your Local Court and paying the fee
- Serving the Statement of Claim on the Debtor
- If the debtor files a defence, both parties attend a pre-trial review and try to settle the case
- Failing that, the matter is heard in Court and a judgement is made
Need to speak to a lawyer about a small claims matter? Call us today