Small claims procedure for businesses

What is the small claims procedure and how can it affect your business?

The small claims procedure offers a straightforward and cost-effective way for consumers and businesses to resolve disputes without legal representation. This page explains who can make a claim, how the process works and what your business should do if faced with a claim or appealing a decision.

The small claims procedure is designed to be quick, affordable and accessible through local District Court offices. It is available for claims up to a maximum of €2,000 and has a small application fee, currently set at €25.

Many cases are settled through negotiation by court officials, avoiding the need for a formal hearing.

What types of claims are possible through the small claims procedure?

The small claims procedure covers claims for issues such as:

• Faulty goods
• Poor quality services
• Minor property damage (excluding personal injuries)

Claims may be brought against your business by consumers or other businesses.

What claims are excluded from the small claims procedure?

Certain types of claims are not eligible under the small claims procedure, including:

• Non-return of rent deposits by landlords (handled by the Residential Tenancies Board)
• Debts
• Personal injuries
• Disputes about leases or hire purchase agreements

How does the small claims procedure work?

The claimant submits a small claims form along with the €25 fee to the District Court. A clerk of the court called a small claims registrar processes the claim and informs your business if you are named as the respondent.

You must respond within 15 calendar days.

What happens if your business doesn't reply to to a consumer's claim? 

If you fail to reply:

• The claim is treated as undisputed
• The court may issue an order against your business for the claimed amount and direct that the sum be paid within a short period of time

What options does your business have when responding to a claim?

If you do respond, you have several options:

• Admitting the claim, completing and returning a Notice of Acceptance of Liability and paying the claim amount via the registrar
• Making payment conditional (for example, only paying if the consumer returns some faulty goods)
• Request to pay in instalments
• Disputing the claim or counterclaiming, in which case the registrar sends the claimant a copy of the Notice of Dispute and Counterclaim

What happens if your business disputes a claim?

Where possible, the registrar will interview and negotiate with you and the claimant to reach an agreement without the need for a court hearing.

If you are called to the registrar’s office, the meeting will be informal and private. The registrar will ask you and the claimant to outline the facts and ask questions to clarify the issues. Bear in mind too that if you have already made an offer to the claimant, the registrar will probably take this into account.

If the matter still cannot be settled during the meeting, the registrar may fix a time and date for a small claims hearing before a judge of the District Court judges.

Do you need to involve a solicitor to deal with a small courts claim?

You don’t have to use a solicitor to respond to a small claim – the point of the procedure is to let claimants and businesses resolve their differences without having to use a solicitor.

However, you may engage a solicitor, and the claimant may do likewise. But remember that if you use one you will have to pay their costs even if the claim against you is not successful.

What happens at the District Court hearing?

If the registrar schedules a court hearing, you must attend. All small claims hearings are public as part of a normal sitting of the court.

During the hearing:

• The claimant presents evidence and you can question (cross-examine) them on matters relating to their claim
• You will also present evidence under oath or affirmation
• Any witnesses for you or the claimant may be cross-examined, and you may be liable for their costs

The judge may require the small claims registrar to assist the court at the hearing.

Can you appeal the court’s decision?

Both parties have the right to appeal to the Circuit Court. Costs may be awarded at the judge’s discretion. Be aware that legal costs can rise quickly and may exceed the original claim amount.

What if your business is involved in other types of claims?

If your business is involved in claims outside the small claims procedure, it is advisable to seek independent legal advice.

Where can you learn more?

• To learn more about the small claims procedure at Courts.ie.
• For landlord-tenant disputes, visit the Residential Tenancies Board.