What Is a Small Claims Court in Maryland?
Maryland Small Claims Courts are subdivisions of the state's District Courts. The courts handle civil cases involving claims worth $5,000 or less. As units of the District Courts aimed at ensuring simpler resolutions of civil cases, the Small Claims Courts' rules of procedure and admission of evidence are more relaxed - thereby removing the cumbersome legal requirements and technicalities associated with standard civil cases.
In the Small Claims Courts, individuals can either hire an attorney or represent themselves, and judges, rather than juries, decide case outcomes. Generally, cases that litigants bring before the Small Claims Court must meet the following requirements:
- The case involves a monetary matter, not property or service quality.
- The claim being contested is not above $5,000, interest and litigation costs inclusive.
- The plaintiff is not seeking discovery, e.g., interrogatories.
- The suing party (known as the plaintiff) is 18 years or older. Otherwise, another person (also 18 or above) must bring the suit on behalf of the underaged plaintiff.
How Does the Maryland Small Claims Court Work?
In Maryland Small Claims Courts, the legal requirements are more relaxed to facilitate quicker case resolutions. For instance, compared to standard civil cases, the court's filing fees are cheaper, hearings are usually scheduled sooner (typically within 60 days of a case filing), and judges make rulings faster.
For a case to be heard in a Small Claims Court, the claim must not exceed $5,000. For this reason, suing parties must consider all the costs they incurred as a result of a defendant's wrongdoing. For example, when suing for damages for property destruction, the plaintiff may consider the expenses incurred in repairing the property. However, the plaintiff may not recover the following costs in a Small Claims Court proceeding:
- Attorney wages. Unless there is an existing contract where both parties had agreed otherwise in case of a breach of contract.
- The replacement cost of a property. However, plaintiffs may be able to obtain a fair market value or cost of repair. A "fair market value" is the amount a property could have been sold for in the market before the damage.
The courts advocate mediation between parties in a dispute before matters are advanced to court. Mediation involves the attempt by both parties to amicably settle the issue out of court or by seeking the assistance of a trained mediator. The District Courts in Maryland run a Mediation and Alternative Dispute Resolution (ADR) program. Mediation is voluntary, grants the parties involved confidentiality, and allows both parties to choose their desired outcome. Mediation may either be free or paid (using a sliding fee scale), depending on the kind of mediation program adopted.
After a plaintiff files a small claims suit and the defendant is summoned to the court for a hearing, the judge hears the arguments of both parties and examines the evidence to make a final decision. While plaintiffs can request a new trial within ten days of the initial trial if it did not go in their favor, the courts rarely grant these requests. Defendants who wish to contest a small claims case outcome may do so within 30 days of the first judgment. This appeal must be filed in a Circuit Court. The court will hold a new trial where both parties will have to present their arguments, evidence, and testimony all over again. Litigants may request a cassette recording of the case for a fee determined by the court.
Judgments entered by Small Claim Courts are usually valid for 12 years. The plaintiff has the option of renewing the judgment for another 12 years if the claim has not been settled.
How to Take Someone to Small Claims Court in Maryland
Before plaintiffs can file small claims cases in Maryland, they must send a letter by certified mail informing the person or entity to be sued of their intention, stating that the suit may only be averted if their claim is satisfied within a given timeframe. The plaintiff must also request a return receipt to be certain that the other party received the letter. If, after the grace period, the party served with the letter fails to settle the claim or does not reach out to make settlement arrangements, then the plaintiff may proceed with a small claims lawsuit.
While it is possible to proceed with a small claims court without an attorney, some cases may require the learned experience and expertise of qualified attorneys. Some of these cases include:
- Cases where the damages are substantial and likely beyond the $5,000 threshold. For example, personal injury cases involving medical expenses.
- An auto accident small claims case where an attorney provided by an insurance provider represents the defendant. It may be necessary for the plaintiff to hire one too.
- The circumstances of the case are such that more research is required to determine the appropriate line of action and procedure.
To preserve the chance of obtaining a favorable judgment in a small claims case, the plaintiff must ensure that they file the case within the timeframe allowed under the law, known as the statute of limitations. In Maryland, the applicable statute of limitation will depend on the nature of the case at hand. While most small claims cases have three years as their statute of limitations, some have a longer statute of limitations, while others have a shorter statute of limitations.
A plaintiff may bring a small claims lawsuit in the location where a defendant (or if there are more than one, at least one of them) resides, works, or does business. Plaintiffs may bring a small claims case in their area of residence if the corporation to be sued does not have a permanent place of business in Maryland. For tort action claims, the plaintiff may file where the action that gave rise to the case took place.
To file a small claims lawsuit, the plaintiff must complete and submit a complaint form with the clerk of the court. The suing party will also have to pay for filing and delivering the necessary documents to the defendant. These fees and other applicable fees are charged based on the case at hand.
As an alternative to visiting the courthouse to complete and file the required documents, plaintiffs may complete and file the necessary forms electronically using Maryland's Guide and File program.
One challenging aspect of filing a small claims case is naming the parties to the suit correctly. This differs by the entity being served.
- To sue individuals, plaintiffs must state the legal name of such persons, as it appears on documents such as international passports or driver's licenses. Also, the defendant must be 18 years of age or more at the time of filing. Otherwise, the parent, guardian, or legal custodian of such a person becomes the defendant in the suit.
- To sue a company, it is equally important to state its formal name in the complaint form. To easily find a company's name in Maryland, plaintiffs may visit Maryland's State Department of Assessment and Taxation website to conduct an entity search.
- If an individual signed to guarantee payment by the indebted company in the suit, then both the legal names of the guarantor and the company must be stated in the complaint form.
When filing a small claims case, a plaintiff can choose between a contract or a tort suit. A tort suit is where the defendant has caused the plaintiff considerable injury through a negligent and wrongful act. On the other hand, a contract suit can be filed when a defendant fails to fulfill financial obligations agreed to verbally or in writing.
Once the plaintiff has completed and filed the necessary documents, the next step is the service of the defendant(s). A defendant will typically receive a copy of the plaintiff's complaint and a court summons. The court summons will contain the case number and the time, date, and location of a trial. These papers may be served via any of the following ways:
- Certified mail
- Private process
- Sheriff
- Constable
There is a fee for each of the service options.
While defendants who are natural persons receive service documents in person, only "resident agents" may receive suit papers for corporate defendants. Corporations appoint resident agents following Maryland laws. If a resident agent is not available, then another officer of the business or corporation may be served.
The court expects to receive Proof of Service once a defendant has been served. This is necessary for the case hearing to hold.
The court will notify a plaintiff if the defendant responds with a Notice of Intention to Defend. This document will typically contain the defendant's reason and explanation on why they will not pay the claim stated by the plaintiff.
A plaintiff can secure an affidavit judgment if a hearing does not occur due to the defendant's absence. The plaintiff must select the affidavit judgment option on the form and attach supporting evidence. Even if a hearing does not hold, the judge will consider the evidence provided and decide the matter. For this reason, a plaintiff must be available on the trial date in case the judge requires further evidence.
An additional requirement for receiving an affidavit or default judgment is a Military Service affidavit. In case of the defendant's unexplained absence, this document will prove to the court that they are not in the military. This information may be obtained from the Department of Defense Manpower Data Center.
Small claims plaintiffs can dismiss their cases without prejudice before a defendant files a Notice of Intention to Defend. Beyond this stage, the opportunity to dismiss still exists (usually before judgment is entered), but it will be a dismissal with prejudice. This means that the plaintiff has lost the opportunity to file the same suit in the future.
How Much Can You Sue For in Maryland Small Claims Court?
In Maryland, a plaintiff can sue a defendant for damages up to $5,000 in a Small Claims Court.
How to Defend Yourself in Maryland Small Claims Court.
Persons who have been sued in a small claims case will typically receive a compliant form that describes the plaintiff's claim and a writ of summons requesting their presence at a court hearing. Within 15 days of receiving the court summons, the defendants must respond with a Notice of Intention to Defend, even if they believe they are not indebted to the plaintiff. Appearing in court without responding with a Notice of Intention to Defend will lead to the postponement of the trial or hearing.
If for some reason, the plaintiff will not be available on the scheduled hearing date, they may ask the court for a continuance. Failing to appear on the new date, or the initial date if the continuance was not granted, may result in the judge issuing a default judgment against the plaintiff.
However, if the defendant agrees to the plaintiff's complaint and wishes to settle, they may reach out to the plaintiff before the trial date for an out-of-court settlement. This settlement may be put in writing and filed in court as proof of settlement. It will also prevent the case from moving forward without the defendant.
How Long Do You Have to Take Someone to Small Claims Court in Maryland?
Generally, people have three years after an incident to bring a small claims case to court. Certain circumstances may warrant different statutes of limitations. The intending plaintiff may have to consult a qualified attorney if their case circumstances are complicated.
What Happens If You Don't Show Up for Maryland Small Claims Court?
If a defendant ignores a small claims court's summons in Maryland, neither contacting the plaintiff nor attending court on the scheduled trial date, the court may continue the case without them.
The judge may enter a default judgment against the defendant if the plaintiff requested an affidavit judgment and presented the necessary documents. In addition to providing sufficient evidence to support a claim, providing information confirming that the defendant is not in the military may earn the plaintiff a default judgment.
What are Maryland Small Claims Court Records?
Maryland, Small Claims Court records include information, documents, exhibits, and other items related to small claims cases. These records are open to members of the public, except when sealed at the court's discretion or by a court order.
Where Can I Find Maryland Small Claims Court Records?
Maryland Court records may be obtained in hard copies or electronic formats in Maryland. To obtain these case records in person, interested persons must visit the relevant courthouse. A case record may be retrieved using a case number or the name of a litigant. An individual may call the clerk's office beforehand to ask if the records sought are available. This records search service comes with a fee. If requiring paper copies of case records, payment to the court will also be required.
To search, view, or obtain small claims case records electronically, interested persons may use the Maryland Judiciary Case Search Application. The database provides general information about cases, such as the case number, case type, and filing date. Complete case information is only available at the clerk's office.
Also, individuals can obtain small claims court records from an independent records provider offering small claims case records across counties, towns, and municipalities.
