Code of Civil Procedure §§ 116.221 & 116.224 were amended by Calif S.B. 221 and these changes are effective: January 1, 2012 until January 1, 2015. They increase the amount that an individual can sue for in small claims court to $10,000.

(Companies are still limited to only $5,000 per claim.)

Why is this important? And why only through 2015 – when the law reverts to the $5,000 level (or maybe the $7,500 level it was also temporarily raised to a few years ago…)?

Beats me.

It might make it interesting for all those borrowers who had “oral promises” from banks not to foreclose – to bring an action in small claims (you know, quick and dirty street justice a’ la Judges Judy or Whapner) for breach of the oral agreements.

That could be fun. And $10k makes it worth while to do – for a filing fee of about $50 bucks (more or less…).

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