Today, we are diving into the updated process of filing a small claims case in the Philippines. Whether you’re a law student, a professional, or just someone seeking justice, this guide is for you. We’ll take you through the journey of Mr. Pedro, who had to file a small claims case against Mr. Juan to recover a debt.
I aim to have this discussion as simple as possible so I will be giving a sample scenario below (Mr. Juan and Mr. Pedro):
Meet the Characters
Mr. Pedro (Creditor) a.k.a ang inutangan: A hardworking individual who lent ₱150,000 to his friend, Mr. Juan, to help with a personal emergency.
Mr. Juan (Debtor) a.k.a, yung nangutang: A friend who borrowed money but has been unable to repay the debt.
Naningil si Mr. Pedro, nag demand pa nga… unfortunately, the debtor Mr. Juan was unable to pay. Mr. Pedro then decided to file a small claims case to recover the money he lent.
If you find yourself in Mr. Pedro’s shoes, here’s what you need to do:
Step 1: Understanding Small Claims Cases and Verifying Eligibility
What is a small claim?
A “small claim” is an action that is purely civil in nature where the claim or relief raised by the plaintiff is solely for the payment or reimbursement of a sum of money. It excludes actions seeking other claims or reliefs aside from payment or reimbursement of a sum of money and those coupled with provisional remedies.
The claim or demand may be:
(a) For money owed under any of the following:
Contract of Lease;
Contract of Loan and other credit accommodations;
Contract of Services; or
Contract of Sale of personal property, excluding the recovery of the personal property, unless it is made the subject of a compromise agreement between the parties.
(b) The enforcement of barangay amicable settlement agreements and arbitration awards, where the money claim does not exceed One Million Pesos provided that no execution has been enforced by the barangay within six (6) months from the date of the settlement or date of receipt of the award or from the date the obligation stipulated or adjudged in the arbitration award becomes due and demandable, pursuant to Section 417, Chapter VII of Republic Act No. 7160, otherwise known as The Local Government Code of 1991.
Eligibility:
Under the Rules on Expedited Procedures in the First Level Courts, Small Claims Cases where the claim does not exceed One Million Pesos exclusive of interest and costs fall under the jurisdiction of Metropolitan Trial Courts, the Municipal Trial Courts in Cities, the Municipal Trial Courts, and the Municipal Circuit Trial Courts.
Since in our scenario above, the amount involved is only ₱150,000.00, it is well within Small Claims threshold amount.
Step 2: Prepare the Required Documents
You will need the following:
- Statement of Claim (Form 1-SCC): This form outlines the details of your claim, including the amount and the reason for the claim.
- Certification Against Forum Shopping: This certifies that you have not filed any other cases involving the same issue.
- Supporting Documents: These include any evidence supporting your claim, such as receipts, promissory notes, and demand letters.
- Verification and Certification of Non-Forum Shopping: A sworn statement affirming that you are not engaging in forum shopping.
Step 3: Filing the Case
Submit the completed forms and supporting documents to the Clerk of Court of the appropriate Metropolitan Trial Court (MeTC), Municipal Trial Court in Cities (MTCC), Municipal Trial Courts (MTC), or Municipal Circuit Trial Courts (MCTC).
Step 4: Payment of Filing Fees
Pay the necessary filing fees at the court’s cashier. If you are unable to afford the fees, you may file a motion to sue as an indigent (Form 6-SCC), subject to approval by the Executive Judge.
Step 5: Service of Summons
The court will issue a Summons and Notice of Hearing to Mr. Juan. The Summons will be served by the sheriff or a court officer within 10 calendar days.
Step 6: The Preliminary Conference
Both parties will be required to attend a Preliminary Conference. During this conference, the court will attempt to mediate and possibly resolve the dispute amicably. If mediation fails, the court will proceed with the judicial dispute resolution.
Step 7: Submission of Position Papers
If necessary, the court may require both parties to submit position papers within 10 calendar days. These papers should outline your arguments and evidence in detail.
Step 8: Rendition of Judgment
The court will render its judgment within 30 calendar days from the submission of the Mediator’s or JDR Report. This judgment is final, executory, and unappealable.
Step 9: Execution of Judgment
If Mr. Juan still fails to pay after the court’s judgment, you can file a motion for the issuance of a writ of execution (Forms 13-SCC, 13-A-SCC, or 13-B-SCC). This allows the court to enforce its decision, ensuring you receive the owed amount.
Tips for a Successful Claim
- Be Thorough: Ensure all forms are correctly filled out and all necessary documents are attached.
- Be Prompt: Adhere to all timelines and deadlines set by the court.
- Be Professional: Maintain a respectful and professional demeanor throughout the process.
Conclusion
Filing a small claims case can seem daunting, but with the right guidance and preparation, it can be a straightforward process. By following the steps outlined above, you can take the necessary legal actions to recover your hard-earned money, just like Mr. Pedro.
For more legal tips and updates, stay tuned to AttyStela.com. If you have any questions or need further assistance, feel free to reach out. We’re here to help you navigate the legal landscape with confidence.
Tags: #SmallClaims #PhilippineLaw #LegalGuide #DebtRecovery #AttyStela
