SMALL CLAIMS JURISDICTION - H.B. 4103 (S-1): FLOOR ANALYSIS



House Bill 4103 (Substitute S-1 as reported)

Sponsor: Representative Andrew Raczkowski

House Committee: Family and Civil Law

Senate Committee: Judiciary


CONTENT


The bill would amend the Revised Judicature Act to increase the jurisdiction of the small claims division of the district court from $1,750 to $3,000, as of January 1, 2000.


MCL 600.8401 - Legislative Analyst: S. Lowe


FISCAL IMPACT


The bill would have an indeterminate impact on the State and local units of government. In 1997 there were 99,824 cases filed in the small claims division of district court. General civil cases filed in district court totaled 160,441. Filing fees in general civil cases are set by MCL 600.8371 and range from $17 to $100, depending on the amount in controversy. Filing fees in the small claims division of district court are set by MCL 600.8420 and range from $17 to $32. There are no data available on the number of general civil cases that included claims between $1,750 and $3,000. Also, it is possible that new cases would result from increasing the jurisdictional limit for the small claims division to $3,000. The following table shows the difference in filing fees for cases in which the amount in controversy exceeds $1,750:


MCL 800.8371 MCL 600.8420
Amount in Controversy over $1,750 to $10,000 over $600 Difference
Fee

Disposition

$52.00 $32.00 ($20.00)
Community Dispute Resolution Fund $2.00 $2.00 0
Judges Retirement System $13.50 $9.00 ($4.50)
District Control Unit $16.50 $11.00 ($5.50)
State Court Fund $20.00 $10.00 ($10.00)


Therefore, if a case for an amount over $1,750 were filed in small claims court, the filing fee would be $32, rather than $52.


Date Completed: 4-29-99 - Fiscal Analyst: B. BowermanFloor\hb4103 - Analysis available @ http://www.michiganlegislature.org

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.