Small Claims Court: Part 2

What if we settle?

In most cases, neither party is 100% right or wrong. You are encouraged to try to settle your case before trial. If you settle the dispute before the hearing, you must inform the court so the hearing can be canceled and your case dismissed. If the other party agrees to pay at a later date, you may ask the court for a continuance. If the other party pays before the postponed date, ask the court to cancel the hearing. If you do not receive your money by the time of the continued hearing, proceed with the case in court. If you drop the suit, your filing fee and service costs are not returned.

How do I collect my money?

A money judgment in your favor does not necessarily mean that the money will be paid. The small claims court does not collect the judgment for you. If no appeal is taken and the judgment is not paid within 30 days, or the time set by the court in the payment plan, you may request, in writing and upon payment of a fee, that a transcript of the judgment be entered into the civil docket of the court. At that time, you may proceed with a method of collection such as garnishment of wages, bank accounts, and other monies of the defendant, or an execution may be issued on cars, boats, or other personal property of the judgment debtor. Remember, the clerks cannot give you legal advice. You may need the assistance of an attorney or collection agency at this point. In the alternative, you may take your transcript of the judgment and file it in superior court for a fee. Other fees may be required by the superior court clerk or county auditor. When this is done, it places a lien against all real estate in the name of the judgment debtor that is located in the county.

When the judgment has been paid in full, you must send written notice to the district court that the judgment has been satisfied.

Can you appeal a case if you lose?

The party who files a claim or counterclaim cannot appeal unless the amount claimed exceeds $1,000. No party may appeal a judgment where the amount claimed is less than $250. If an appeal is taken to the superior court, the appealing party is required to follow the procedures set out in the county court law. The following steps must be taken within 30 days of the entry of judgment:

1. Prepare a written notice of appeal and file it with the district court.
2. Serve a copy of that notice on the other parties, and file acknowledgment or affidavit of service in district court.
3. Pay to the district court a transcript fee.
4. Deposit at the district court the superior court filing fee either in cash, money order, or cashier's check payable to the clerk of the superior court, and pay an appeal preparation processing fee to the district court.
5. Post a bond (cash or surety) in a sum equal to twice the amount of the judgment and costs or twice the amount in controversy, whichever is greater, at the district court.

When the appeal and bond are transferred to superior court, the appellant (person appealing the decision) may request that the superior court suspend enforcement of the judgment until after the appeal is heard.

Within 14 days of filing the notice of appeal, the district court clerk will transmit the court record to the superior court clerk, who will assign a new number and notify the district court. The district court clerk will advise the appellant of that number, and the appellant must then contact the superior court for further instructions.

Once the judgment has been appealed to the superior court, then enforcement of any judgments entered in the case will be handled in superior court in the same manner as any other superior court judgment.