December 1st, 2025 |

• General

By Mike Jerominski

Reading Time: 3 minutes

Does someone owe you money right now that they will not pay you?

Does someone have property of yours that they should return to you, but are refusing to do so?

Are you a landlord who needs to recover unpaid rent and/or evict a troublesome tenant?
If any of these situations have you nodding your head “yes,” small claims court is likely the simple and streamlined solution you are looking for.

Small Claims Court is a specialized court with more straightforward, less formal rules than other courts. The simple rules and informality mean disputes can be resolved more quickly and inexpensively than in other court proceedings. For many people, small claims offers a practical path to relief without the stress and complexity of larger civil cases. Whether you are dealing with a contractor who failed to complete agreed-upon work, a former friend who never returned borrowed items, or a tenant who refuses to pay rent, small claims provides an accessible forum to have your case heard.

The most common types of small claims cases are:

• Claims for money where the amount claimed is $10,000 or less, if the actions are for money judgments only, or for garnishment of wages.
• Claims for tort/personal injury where the amount claimed is $5,000 or less.
• Claims for eviction, regardless of the amount of rent claimed.
• Claims for “replevin,” or, simply put, the return of property.
• Non-consumer credit actions where the value of the property claimed is $10,000 or less, including agricultural loans.
• Consumer credit transactions with an amount financed of $25,000 or less.
• The return of earnest money for the purchase of real estate.

Anyone 18 years or older can file a small claims complaint, and while an attorney is not necessary, it is strongly recommended. Hiring an attorney helps to avoid the time and expense of going to court by trying to settle the matter before filing a complaint. Often, a well-written demand letter or a strategic conversation between attorneys can resolve the issue entirely, saving everyone time and money. If you hire an attorney, your attorney can contact the other party or the party’s attorney, discuss the situation, and try to solve the problem through an agreement you can both live with.

Even after your small claims suit is filed, you may still engage in settlement negotiations with the opposing party. Don’t be reluctant to compromise; even in large civil lawsuits, more than 90% are settled before trial. In some Wisconsin counties, there are even mediation services available to help you reach an agreement with the other party, providing a neutral third party to facilitate productive dialogue.

Should you find yourself on the receiving end of a complaint in small claims court, the process remains simple and informal as well.

The most important thing to do if sued in small claims court is to answer the complaint in writing or appear in small claims court at the time and place noted on the summons and complaint you receive. If you do nothing and do not answer and/or appear, a judgment may be entered against you. If a judgment is entered against you, the party who filed the complaint against you can, among other things, garnish your wages or recover money from your bank accounts. That is a steep price to pay for inaction.

In many instances, you may have a claim against the person who filed the complaint against you. This is called a “counterclaim.” In a small claims action, your counterclaim can be for any of the claims mentioned above. Counterclaims can be powerful tools, especially when the original dispute involves shared financial obligations, disagreements over property damage, or unpaid services.

As with filing a complaint, an attorney is not necessary for defending a small claims action, but it is strongly recommended. In defending against a small claims complaint, hiring an attorney helps to avoid a judgment against you. Also, it helps avoid the time and expense of going to trial by attempting a settlement. Furthermore, suppose you have a counterclaim that exceeds any of the monetary limits above. In that case, an attorney can guide you in moving from small claims court to large claims in civil court, where different procedures and higher stakes apply. This ensures that your case is heard in the proper forum and that you do not unintentionally limit your available remedies.

If any of the situations here may apply to you, contact The McLario Firm for a free initial consultation. We are committed to helping you understand your rights and take the next step with confidence.