Has the amount a person can seek in small claims increased from $7500 to $10,000?
Yes. However, with the passage of Senate Bill 221, the small claims court maximum demand was increased from $7,500 to $10,000. Senate Bill 221 amends California Code of Civil Procedures § 116.221 & 116.224. The new law, which was signed by Gov. Jerry Brown on July 8, 2011, became effective January 1, 2012 and remain in effect until January 1, 2015.
There are two exceptions to this jurisdictional increase:
-- First, the jurisdictional limit of the small claims court inCalifornia will remain $7,500 for claims of bodily injury resulting from a car accident if the defendant in the action is insured and the insured’s policy includes a duty to defend.
-- Secondly, the small claims jurisdictional limit in California will remain $5,000 for lawsuits brought by entities such as corporations, limited liability companies (LLCs) and partnerships.