Small claims court is designed to resolve lower-dollar disputes quickly, inexpensively, and without requiring lawyers. But "simple" doesn't mean you can ignore it. If someone sues you in small claims court and you don't respond — or don't show up — the court will almost certainly enter a default judgment against you, which becomes a legally enforceable debt that can affect your credit and lead to wage garnishment.
Here's exactly what to do when you receive a small claims summons.
Dollar Limits by State
Small claims courts have jurisdiction over cases up to a maximum dollar amount, which varies significantly by state:
- $2,500: Kentucky, Rhode Island
- $5,000–$7,500: Many states, including Alabama, Arkansas, Georgia, Louisiana
- $10,000: California, Florida, Illinois, New York, Ohio, Texas (individual plaintiffs)
- $15,000–$25,000: Delaware, Minnesota, Missouri
- $25,000: Tennessee
These limits apply to the amount being sued for, not the total value of any property involved. Some states have different limits for individuals versus businesses.
If someone is suing you for more than the small claims limit, they must file in a higher court (district, county, or circuit court), which involves more formal procedures.
Your Timeline to Respond
When you're served with a summons, you typically have 20–30 days to file a written response, though this varies by state. Some small claims courts don't require a written response at all — you simply appear at the hearing date specified in the summons.
Read the summons carefully — it will specify:
- The deadline to respond (or the hearing date)
- Where to file your response (the court clerk's office)
- What you're being sued for and how much
Don't miss the deadline. If you need more time, contact the court clerk and request a continuance before the deadline passes. Courts routinely grant these for legitimate reasons.
How to Respond: Your Options
Option 1: Settle Before the Hearing
Many small claims disputes settle without a court hearing. If you believe you owe some or all of what's claimed, contact the plaintiff (the person suing you) directly. A written settlement agreement where both parties sign off can result in the case being dismissed.
If you settle, get the agreement in writing and confirm the plaintiff will file a dismissal with the court. Don't pay anything without written confirmation that they're dropping the case.
Option 2: Appear and Defend at the Hearing
If you dispute the claim, appear at the hearing and present your case. Small claims hearings are informal — you don't need a lawyer (and in some states, lawyers aren't permitted). The judge or magistrate will hear both sides and usually rules the same day.
Prepare:
- A clear, concise statement of your position
- Physical evidence: contracts, receipts, photos, text messages, emails (printed or on a tablet)
- Any witnesses who can testify to relevant facts
- Any records that contradict the plaintiff's claims
Option 3: File a Counterclaim
If you believe the plaintiff actually owes you money related to the same dispute, you can file a counterclaim before the hearing. File it with the court clerk, within the deadline, and serve the plaintiff. At the hearing, both claims are heard together.
Example: A landlord sues you for unpaid rent. You counterclaim for the security deposit they never returned and the cost of repairs they were obligated to make but didn't.
Option 4: Default — What NOT to Do
If you don't appear at the hearing, the court enters a default judgment in the plaintiff's favor. This is the worst outcome:
- The plaintiff receives a legal judgment for the full amount claimed
- The judgment can be used to garnish wages, levy bank accounts, or place liens on property
- It may appear on your credit report
- You'll have very limited options to reverse it
The only way to undo a default judgment is to file a motion to vacate, and courts only grant these for specific reasons (you were never properly served, a genuine emergency prevented you from appearing, or the plaintiff's claim is legally invalid).
What Happens at the Hearing
Small claims hearings are brief — often 10–20 minutes per case. The process:
- Both parties present their case to the judge or magistrate
- Each party may question the other and present evidence
- Witnesses can testify
- The judge rules — usually immediately, sometimes by mail within a few days
Tips for the hearing:
- Be respectful and address the judge as "Your Honor"
- Stick to relevant facts — judges have heard every story and respond better to evidence than emotion
- Bring a timeline: a chronological list of events with dates and supporting documentation for each
- Don't interrupt the other party when they're speaking
What Happens If You Lose
If judgment is entered against you, you have several options:
Pay the Judgment
The simplest resolution. Most judgments accrue interest at a rate set by state law (often 5–10% per year). Paying promptly is generally in your interest.
Appeal the Decision
You can appeal a small claims judgment to a higher court — but the process is more formal, may require a lawyer, involves filing fees, and in many states requires posting a bond equal to the judgment amount. Appeals must be filed within a strict timeframe (often 30 days).
Negotiate a Payment Plan
Even after judgment, you can contact the plaintiff and negotiate installment payments. Get any agreement in writing and make sure it includes a provision that they'll file a satisfaction of judgment once paid.
Dispute the Judgment if Improper
If the plaintiff collected more than they were awarded, or attempted collection through improper means, you can file a motion with the court.
Collection Options Available to the Winner
If you don't pay voluntarily after a judgment, the winning party has legal tools to collect:
- Wage garnishment: Obtain a writ of garnishment to have your employer withhold a portion of your wages
- Bank levy: Freeze and take funds from your bank account
- Property lien: Place a lien on real estate you own, affecting your ability to sell or refinance
- Judgment debtor examination: Compel you to appear in court and answer questions about your assets and income under oath
These collection actions require additional court filings and fees — but they're available and commonly used.
If You're Owed Money After Winning
Winning a small claims case doesn't mean automatic payment. If the defendant doesn't pay voluntarily, you'll need to pursue the collection options listed above. Research whether the defendant has attachable income or assets before spending time and money on collection efforts.
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