What's happening
This bill raises the monetary limit for small claims cases in New York City civil court from $5,000 to $10,000.
Why it matters
Expands access to informal, low-cost court proceedings. By raising the small claims limit, more individuals and small businesses can resolve larger disputes without needing expensive legal representation or navigating more complex court procedures.
Could improve court efficiency and reduce backlog in higher courts. Disputes up to $10,000 that previously had to be filed in more formal courts can now be handled in small claims, potentially easing caseloads elsewhere in the system.
May increase the potential financial risk for defendants. Individuals and businesses sued in small claims court could now face judgments up to twice as high as before, which could have a greater impact on their finances.
Reflects inflation and economic changes. The adjustment acknowledges that the value of money has changed since the last increase (from $5,000), aiming to keep the small claims process relevant for today’s economic realities.
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Who cares
People seeking money damages
The bill would raise New York City’s small claims limit from $5,000 to $10,000, excluding interest and costs.
Individuals and businesses defending claims
Defendants who reside, maintain a business office or have regular employment in New York City could face small claims actions seeking up to $10,000.
Clients and attorneys disputing legal fees
The bill would also raise the limit for actions challenging arbitration awards under Part 137 from $5,000 to $10,000.
New York City Civil Court
The court would handle small claims under the higher limit for actions and proceedings commenced on or after the bill’s immediate effective date.
Headline styles
Raise Small Claims Limit
Plain English, a few words. Used as the page title.
Sponsors
3 Co-sponsors
History
- Signed chap.664
- Delivered to governor
- Returned to assembly
- Passed senateVote 62–0
- 3rd reading cal.1717
- Substituted for S6417
- Referred to rules
- Delivered to senate
- Passed assembly
- Advanced to third reading cal.449
- Reported
- Referred to judiciary
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Raise Small Claims Limit
Senate Floor Calendar · Sponsor Michael Gianaris
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
7525
2019-2020 Regular Sessions
IN ASSEMBLY
May 8, 2019
Introduced by M. of A. DenDEKKER, DINOWITZ -- (at request of the Office of Court Administration) -- read once and referred to the Committee on Judiciary
AN ACT to amend the New York city civil court act, in relation to small claims jurisdiction
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 1801 of the New York city civil court act, as amended by chapter 65 of the laws of 2010, is amended to read as follows:
§ 1801. Small claims defined. The term "small claim" or "small claims" as used in this act shall mean and include any cause of action for money only not in excess of [five] ten thousand dollars exclusive of interest and costs, or any action commenced by a party aggrieved by an arbitration award rendered pursuant to part 137 of the rules of the chief administrator of the courts (22 NYCRR Part 137) in which the amount in dispute does not exceed [five] ten thousand dollars, provided that the defendant either resides, or has an office for the transaction of business or a regular employment, within the city of New York.
§ 2. This act shall take effect immediately and apply to actions and proceedings commenced on or after such date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10176-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.