Tuesday

Small Claims Cases Pilot Project

Nota bene:

Check the following as guides for this post:
(A.M. No. 08-8-7-SC) Rule of Procedure for Small Claims Cases, and
(A.O. No. 141-2008) Administrative Order Designating Pilot Courts for Small Claims Cases.


Overview of the Rule


The Supreme Court, by virtue of its Constitutionally guaranteed rule-making powers under Section 5(5) of Article VIII, formulated this special rule of procedure to govern small claims cases. It provides a simple, more inexpensive and expeditious means of settling disputes involving purely money claims than the regular civil process, by allowing the plaintiff (the person suing) to sue a defendant (the person being sued) without the need of a lawyer.

According to the definition provided by the rule, small claims cases are civil claims which are exclusively for the payment or reimbursement of a sum of money not exceeding P100,000.00, and does not include interest and costs.

These claims or demands may be:

(a) For money owed under any of the following:

1. Contract of Lease;
2. Contract of Loan;
3. Contract of Services;
4. Contract of Sale; or
5. Contract of Mortgage;

(b) For damages arising from any of the following:

1. Fault or negligence;
2. Quasi-contract; or
3. Contract;

(c) The enforcement of a barangay amicable settlement or an arbitration award involving a money claim covered by this Rule pursuant to Sec. 417 of Republic Act 7160, otherwise known as the Local Government Code of 1991.



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