The modern justice system strives to provide access to justice for all citizens, regardless of their financial status or the complexity of their cases. An important way in which this becomes possible is through the low-value claim, which allows parties to resolve disputes with minimised costs and time. The special procedure of the Small Claims Procedure is governed by the Code of Civil Procedure and the costs of initiating such a dispute are minimal compared to a claim under ordinary law.
I. What is a Small Claim?
The Small Claims Procedure, also known as Small Claims Procedure, is a legal mechanism that allows parties to settle disputes at a lower cost and in a shorter time than in ordinary court proceedings. This procedure is particularly suited to cases with a low value in dispute, generally small financial amounts, which do not justify the full involvement of the regular court system.
II. Purpose and benefits of the Small Claims procedure:
The main purpose of the Small Claims Procedure is to facilitate access to justice for all citizens, regardless of the financial resources they have at their disposal. The major benefits of this procedure include:
a) Saving time and resources: The simplified and fast procedure allows parties to resolve disputes in a shorter time, eliminating the steps of the ordinary judicial process that can delay resolution.
b) Reduced costs: The costs associated with small claims are much lower than those associated with a full judicial process. Thus, parties save money and are not discouraged from exercising their rights in court because of high costs.
c) Simplification of procedures: Procedures are designed to be simpler and more accessible to the parties, allowing them to participate effectively in the process, as adversarial proceedings are not a mandatory step in this procedure.
d) Encouraging out-of-court settlements: Small claims can encourage parties to reach an out-of-court settlement, as this is often a quicker and less costly option than a full trial.
III. Appropriate cases for Small Claims:
Small claims are appropriate for disputes that meet specific criteria set out in the relevant legislation. These criteria may include the limit of the amount in dispute, the nature of the dispute and the type of dispute (e.g. housing, employment, consumer, etc.) Generally, cases involving small amounts of money, minor issues or simple claims for damages are most suitable for small claims.
IV. Limitations and considerations:
It is important to note that while the small value claim is an attractive option for many, there are some important limitations and considerations to keep in mind:
a) Exclusion of complex cases: Cases involving complex legal issues or extensive evidence may be outside the scope of the small claims application and may require a common law judicial approach.
b) Limitation of the subject-matter of the dispute: In the special Small Claims procedure, the subject-matter of the dispute can only be certain, liquidated and enforceable claims.
c) Limit on the amount in dispute: The Code of Civil Procedure imposes a limit on the amount in dispute in order to be able to use the Small Claims procedure, which may limit access to this option for some persons.
Small claims are a valuable tool in the judicial system, facilitating access to justice for all citizens and making small claims litigation more efficient. By simplifying procedures and reducing costs, this option provides an affordable and quick means of resolving disputes with low financial amounts. However, it is important to bear in mind specific limitations and considerations to ensure that the low-value claim is the most appropriate solution for each individual case.
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