Small Claims and the $25,000 limit

Small Claims and the $25,000 limit

Ontario Real Estate Source

By Brian Madigan LL.B.

The jurisdiction of the “small claims” court in Ontario has increased significantly in the last few years. On 1 January 2010 it rose to $25,000 from $10,000. Before that it had been $1,000, $800, $400 and $200.

When it was $400 and less, it was still called Division Court.

The stakes were not high and lawyers really didn’t get in the way. It had proven to be an educational training experience for young lawyers. But, the monetary limit increased.

This is a serious matter now. There can be a $25,000 claim and a $25,000 counterclaim. So, over $50,000 can swing in the balance of a decision.

That means more experienced counsel and often more delays. There’s still no pre-trial discovery under oath. Discovery is limited simply to documents.

It’s almost time for the Courts to review this “experiment” in order to assess its merits.

Brian Madigan LL.B., Broker is an author and commentator on real estate matters, if you are interested in residential or commercial properties in Mississauga, Toronto or the GTA, you may contact him through RE/MAX West Realty Inc., Brokerage 416-745-2300.
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