Small claims court is the real Peoples Court
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Q: I have a dispute with a store that I want to resolve in small claims court. I know I can sue for up to $10,000, but I have some questions. Do I need an attorney? What is the statute of limitations in small claims court? How do I get my money if I win?
A: Small claims court is a great place to resolve monetary disputes in amounts up to $10,000. It is a real “People’s Court.” It is presided over by the local justice of the peace, many of whom are not attorneys. The rules for small claims court are very informal and are designed to let you feel comfortable. Most people who appear in small claims court do not have an attorney. If you feel you can tell your side of the story to the judge, you probably do not need an attorney. Of course, if you believe you will be too nervous or uncomfortable to do a good job, or the other side has an attorney, or the amount of money is large, you should consider having an attorney represent you. In most consumer cases you may recover your attorney’s fees from the other side if you win. The best way to familiarize yourself with small claims court is to go to the court and sit and watch. Then you will be able to make a decision about representing yourself.
The statute of limitations (the time within which a lawsuit must be filed) for small claims court is the same as any other court and is based on the nature of the claim, not the court. In most cases, you have two or four years to file a claim. For example, consumer suits under the Deceptive Trade Practices Act and torts, such as negligence, must be filed within two years. Claims based on a breach of contract must be filed within four years. Most claims against a business are either for a violation of the Deceptive Trade Practices Act (two years) or breach of warranty (four years).
Getting paid after you win in small claims court can be a problem. If you win, the court will issue a “judgment” in your favor. In many cases, no further collection efforts will be necessary because the person you sued will pay the money owed. If you are not paid, however, you should file what is called an “abstract of judgment.” This makes the judgment public record, and it will be reported on the other person’s credit report. You enforce the judgment by “executing” against the person’s non-exempt property. In Texas, wages, a homestead, retirement accounts and most personal property are “exempt,” and may not be taken to satisfy a judgment. This means you must find other “non-exempt” property against which to collect. For example, if you know where the person banks, you can file a “writ of garnishment” to take money that is in a checking or savings account.
To learn more about small claims court and how to collect if you win, visit my Web site below.
Q: I own a small bakery. Can I make a freehand copy of cartoon characters out of the newspaper and use it to decorate a cake? Someone told me this was illegal.
A: What you were told is true. The cartoon character in the paper is protected by federal copyright law. This means that you do not have the right to reproduce the character. It doesn’t matter whether you make the copy freehand or with the assistance of a machine.
Q. I rented an apartment to be close to my new job. After just two months, I have been transferred. Is this a legal excuse to get out of my lease?
A. No. As a general rule, you may terminate a lease only for those reasons spelled out in the lease. Read your lease carefully and see if it gives you the ability to terminate it early due to a change in your employment. If it does not, you will be in breach of the lease and the landlord could be entitled to damages. My advice is to discuss this with your landlord and see if you can work out a mutually agreeable settlement. Be sure to get any agreement in writing.
Richard Aldermann, a consumer advocate popularly known as “the People’s Lawyer,” is a professor at the University of Houston Law School in Houston. His column appears weekly in the Victoria Advocate. Write to him at UH Law Center, Houston, Texas 77204-6391. He also maintains a Web page at www.peopleslawyer.net.
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