SMALL CLAIMS COURT:

INCREASE RECOVERY AMOUNT

Senate Bill 269 (Substitute S-1)

Sponsor:  Sen. Tonya Schuitmaker

House Committee:  Judiciary

Senate Committee:  Judiciary

Complete to 3-14-12

A SUMMARY OF SENATE BILL 269 AS PASSED BY THE SENATE 10-19-11

The small claims division of district court hears cases in which the claim for damages sought to be recovered is $3,000 or less.  The bill would amend the Revised Judicature Act to increase that amount to not more than $8,000.

MCL 600.8401

FISCAL IMPACT:

The bill would have an indeterminate, but likely positive, fiscal impact on state and local government.  By increasing the jurisdictional monetary ceiling, more cases will fall under the small claims court's jurisdiction, thereby disposing of cases that would have fallen under the district court's jurisdiction at lower costs and with greater speed and efficiency.  

                                                                                           Legislative Analyst:   Susan Stutzky

                                                                                                  Fiscal Analyst:   Erik Jonasson

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.