# Small businesses can now use the Small Claims Court



## Brendan Burgess (6 Jan 2010)

Press statement from Dermot Ahern

*Ahern extends Small Claims Procedure to cover business claims *

 	 The Minister for Justice, Equality and Law Reform, Mr. Dermot Ahern, T.D., today announced that he has introduced new Court Rules to extend the current remit of the Small Claims procedure to include certain business claims. The new rules will facilitate claims from a business against another business in respect of goods or services not exceeding €2,000.
 Introducing the new Small Claims procedure Minister Ahern said *"This Government is conscious that all businesses, but small businesses in particular, have been significantly affected by the very difficult economic situation that this country is facing. Businesses, as well as consumers, can find themselves in a position where they have a legitimate claim against another business or vendor in relation to a contract in respect of goods or services purchased.  *
*The extension of this successful procedure will provide a choice of legal routes to pursue a small claim as the current civil bill system will also remain available. This will allow a business choose whichever route, small claims or civil bill procedure, it considers most economic and appropriate to its circumstances."* 
 The Minister went on to say that *"By limiting the new procedure to consumer and business to business claims, the fundamental pro-consumer ethos of the small claims process will be maintained. It is essential that consumers, especially in vulnerable economic circumstances, are protected. The new procedure provides the necessary safeguards for consumers."*
 The new rules will come into effect on 11 January 2010.  
*5 January 2010* 
*Note For Editors* 

 The new Small Claims procedure amends District Court Rules (Order 53A of the District Court Rules 1997). The consumer or business must have purchased goods or services from someone selling them in the course of business. Claims cannot be made in respect of debts, personal injuries or breach of leasing or hire purchase agreements. The procedure provides an alternative and complimentary mechanism to the civil bill procedure.
 It should be noted that Irish jurisprudence currently requires limited liability companies to engage legal representation for an court based proceedings. The Minister has requested that this precedent be reviewed by the Company Law Review Group.


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## Brendan Burgess (6 Jan 2010)

I am not sure how many claims this will apply to. I can only think of one instance where I would have used this in the last 5 years. A supplier of a coffee machine which never worked. There was no point in attempting to sue him as the time and cost would have been huge. I would love to have had the opportunity of taking him to the Small Claims Court.


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## ali (6 Jan 2010)

A very welcome development

A.


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## donee (6 Jan 2010)

Yes I agree, it is welcome, but if a business is closed or the person being sued (sole trader) has'nt the money to repay the debt then ultimately the result will be the same, ie still non payment. Does the small claims court have the power to grant something like a judgement mortage or is that only from district court up?


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## delgirl (7 Jan 2010)

This is great news - thanks for letting us know Brendan!


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## Optimistic (7 Jan 2010)

Thanks Brendan. 

Has it been broadened to include claims greater than 2K Euros value limit, as from memory this was the limit allowed in a small clams court? 

I still have on going problems with my solar panels. Went to court, was awarded 2K, but the business is still refusing to pay, court case last Sept.
Thanks again, Optimistic


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## markpb (8 Jan 2010)

The press release is [broken link removed].



> The Minister for Justice, Equality and Law Reform, Mr. Dermot Ahern, T.D., today announced that he has introduced new Court Rules to extend the current remit of the Small Claims procedure to include certain business claims. The new rules will facilitate claims from a business against another business in respect of goods or services not exceeding €2,000.


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## Sconhome (9 Jan 2010)

Should also include business against private also. The amount of small business operators being stung for 'small' amounts is criminal.

All debt claims should be treated equally in the courts, private v private, business v business, private v business etc.


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## Brendan Burgess (9 Jan 2010)

markpb said:


> The press release is [broken link removed].



???

That is the first post in this thread!


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## Hans (26 Apr 2010)

Has any business applied to small claims court and had any success I am feeling quite frustrated at the moment over an overdue payment (18 months ago now) I have been paid part of the invoice but still owed over 1K and have been as good as told to <expletive deleted by mod> I'm getting no more. I was glad to see through this website that small businesses can now apply to small claims court I don’t know if I will get anything more off them but at least I feel better by doing something and hopefully I will be a pain in the ass to him.


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## thebishop (28 Apr 2010)

Hans, as far as I'm aware, the small claims court dosent deal with non-payment of an invoice
Claims cannot be made in respect of debts, personal injuries or breach of leasing or hire purchase agreements.


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## Hans (28 Apr 2010)

Looking at Brendan's opening thread: 
'The consumer or business must have purchased goods or services from someone selling them in the course of business' This company bought goods from me in the course of business but didn't fulfill his part of bargain and pay for them surely the 'debt' part of sentence (in thebishop post) would apply to me.


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## ajapale (28 Apr 2010)

Hans said:


> This company bought goods from me in the course of business...


It appears to me that you do not have recourse to the SCC in this instance since you did not purchase goods or services from the company.


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