Small Claims/Economic Litigation

Question 1

Small Claims/Small Claims Court (Definition/rules/person who sues/person who is sued/legal representation)

Answer 1

Has jurisdiction in specified civil actions

Special court where dispute are resolved quickly and inexpensively

Rules are simple/informal

Person who sues is called plaintiff

Person sued is called defendant

Not allowed to have lawyer as representation at hearing, but you can talk to one before/after

Question 2

Small Claims Cases (Money Amount Limits/exceptions to money limit/limit to number of claims/who can’t sue in small claims/e-filing)

Answer 2

Claims are limited to $5,000 if for a corporation, or other legal entity $10,000 if action brought by natural person/sole proprietor

Some exceptions to $10,000 limit for individuals:

$7,500 action brought by natural person for bodily injuries resulting from auto accident if that person has auto insurance with a “duty to defend”

Can only sue a guarantor for up to $6,500 ($2,500 if they do not charge for the guarantee)

Can sue the Registrar for the Contractors (the executive officer of the Contractor State License Board) as a guarantor for up to $10,000

Individual: If claim is over $2,500, only 2 such claims may be filed by an individual in a calendar year

Under $2,500 unlimited times in a calendar year

Collection agencies cannot sue in small claims court to collect on debts assigned them

Some courts allow e-filing of small claims action
Check rules beforehand

Question 3

Rights to Appeal in small claims (Who can do it/what happens to right of appeal for defendant who does not appear at hearing/trial de novo)

Answer 3

Judgements rendered in small claims court may be appealed only by a defendant to the superior court

If a defendant does not appear at hearing, he/she may not appeal but may make a motion to vacate the judgement

Trial is called a “trial de novo” or trial from the start

Means that you have to prove your side all over again , including bringing all the evidence you want the court to consider

You can, but do not have to, have lawyer represent you on appeal

Question 4

Economic Litigation: Limited Civil Cases (Amount in dispute)

Answer 4

Cases in which the amount in controversy is $25,000 or less

Question 5

Economic Litigation: Limited Civil Case Caption (Notation)

Answer 5

Above the case number, note “Limited Civil Case”

Below title of the complaint must note either:

1) Amount demanded exceeds $10,000

2) Amount demanded does not exceed $25,000

Question 6

Economic Litigation: Limited Civil Case Rules (To which courts and actions do they apply/Where do rules not apply/withdrawal from economic litigation/litigation procedures limited civil v. unlimited civil/acceptable pleadings/verification)

Answer 6

Economic litigation rules apply to every court that handles limited jurisdiction civil action

Including cases submitted to arbitration or on the arbitration hearing list, pending in the court in which the amount in controversy is $25,000 or less

Also apply to any action transferred to a court of limited jurisdiction by reason of lack of jurisdiction in the court in which it was filed

Rules do not apply to small claims or forcible entry/detainer cases

Application may be made to withdraw the case from application of economic litigation provisions (Code Civ. Proc., § 91.)

Litigation procedures are the same for limited civil cases as those for unlimited civil cases except for when it comes to the pleadings considered acceptable:

Acceptable pleading: Complaints, answers, cross-complaints, answers to cross-complaints, general demurrers

answers need not be verified, even if complaint is verified

Question 7

Economic Litigation: Case Management

Answer 7

Case Management systems (CMS) and “Fast Track” programs are in effect in the courts that handle limited civil cases

CA Rules of Court/California Codes are accessible online

Question 8

Economic Litigation: Permissible Pleadings and Motions (verification/special demurrers/motions to strike/permitted motions)

Answer 8

answers need not be verified, even if the complaint or cross-complaint is verified

Special demurrers are not allowed

Motions to strike are allowed only on the ground that the damage or relief sought are not supported by the allegations of the complaint

All other motions are permitted, unless limited by this section (Code of Civ. Proc., § 92.)

Question 9

Economic Litigation: Case Questionnaire (When can it be served/what must they include/how to serve response/purpose/why is it helpful)

Answer 9

Plaintiff has the option to serve a Judicial Council (mandatory) case questionnaire with the complaint

Questionnaires served shall include a completed copy of plaintiff’s case questionnaire and a blank copy for defendant’s case questionnaire

Defendant’s case questionnaire is served with defendant’s answers (Code of Civ. Proc., § 93.)

Purpose of case questionnaire is to elicit basic information about each party’s case, names and addresses of witnesses, etc.

Especially helpful in light of the limited discovery allowed as set forth below

Question 10

Economic litigation: Acceptable Forms of Discovery

Answer 10

1) Any of 35 of the following

a) Special Interrogatories;
Interrogatories, with no subparts, pursuant to Code of Civil Procedure section 2030.010;
Economic litigation has its on JC interrogatory forms (included in 35 limit)

b) Demands to Produce
Demands to produce docs and things pursuant to Code of Civil Procedure section 2031.010

c) Requests for Admission
Requests for Admission, with no subparts, Pursuant to Code of Civil Procedure 2033.010

2) Depositions

3) Records

4) Examination

5) Expert Witness

6) Additional discovery

Question 11

Economic Litigation: Acceptable Forms of Discovery–Depositions, limits on

Answer 11

One depo per party pursuant to Code of Civil Procedure section 2025.010, 2026.010, and through section 2028.010

One depo per party rep’d

Therefore, if you only rep one party then you must be particularly selective about who you depose, bc you only get one

Question 12

Economic Litigation: Acceptable Forms of Discovery–Records

Answer 12

Any party may serve on any person a deposition subpoena requiring the person served to mail the requested docs to the party’s counsel, along with a declaration, pursuant to Evidence Code section 1561

Party who issued deposition subpoena shall mail a copy of the response to any other party who tenders the reasonable cost for copying

Question 13

Economic Litigation: Acceptable Forms of Litigation–Examination

Answer 13

May request physical and psychological exams pursuant to Code of Civil Procedure section 2032.010

Question 14

Economic Litigation: Acceptable Forms of Discovery–Expert Witness

Answer 14

The identity of expert witnesses pursuant to Code of Civil Procedure section 2034.010

Question 15

Economic Litigation: Acceptable Forms of Discovery–Additional Discovery

Answer 15

Party may move the court for an order authorizing additional discovery, or the parties may stipulate to additional discover (Code of Civ. Proc., § 95)

Question 16

Economic Litigation: Request for Statement identifying Witnesses and Evidence–(What is it/Form)

Answer 16

(Code of Civ. Proc., §§ 96, 97.)

Any party may serve on any other party a Request for Statement of Witnesses and Evidence, which is a mandatory Judicial Council form

Question 17

Economic Litigation: Request for Statement identifying Witnesses and Evidence (Time-frame for Serving Request)

Answer 17

Request should be served no more than 45 days or less than 30 days prior to initial trial date

Question 18

Economic Litigation: Request for Statement Identifying Witneses and Evidence–Deadline to Respond to Request

Answer 18

The response is due within 20 days from service of the request

Question 19

Economic Litigation: Request for Statement Identifying Witnesses and Evidence–Effect of Failure to Respond, Exceptions

Answer 19

Failure to serve/file a responding statement precludes the party from calling any witness or introducing any evidence, except for purpose of impeachment (Code of Civ. Proc., § 97)

Exceptions/instances in which failure to respond does not bar introduction of evidence/witnesses:

Party who appearns in an action in an individual capacity may call themselves as a witness

An adverse party may be called

Witnesses/evidence used solely for purposes of impeachment

Documents obtained by discovery

Pursuant to court order, if the court finds that a good faith effort to comply with the request was made or that the failure to comply with the request was the result of mistake, inadvertence, surprise or excusable neglect

Question 20

Economic Litigation: Testimony by Declaration (Definition/Rules)

Answer 20

In lieu of direct testimony, a party may offer testimony in the form of declarations under penalty of perjury, provided that:

1) A copy was served on the party against whom it is offered at least 30 days prior to trial, together with a current address of the declarant who is within 150 miles of the place of trial, and declarant is available for service of process at that place for a reasonable period of time during the 20 days immediately prior to a trial

2) the statement is in the form of all/part of a deposition in the case, and the party against whom it is offered had an opportunity to participate in the deposition (Code Civ. Proc., § 98.)