Dáil Éireann debate -
Wednesday, 26 Jan 2000

Vol. 513 No. 1

Written Answers. - Small Claims Procedure.

Richard Bruton

Question:

656 Mr. R. Bruton asked the Minister for Justice, Equality and Law Reform the evaluation, if any, he has carried out on the efficiency and effectiveness of the small claims court; if this has included any survey of the satisfaction levels of clients; the number of claims; the speed of processing; and the speed of enforcement in the event of default by respondents. [1322/00]

Minister for Justice, Equality and Law Reform (Mr. O'Donoghue):

The small claims procedure is a special mechanism for dealing with consumer claims within the district court structure which is designed to handle such claims speedily, inexpensively and informally without involving a solicitor. It is administered by the Small Claims Registrar whose function it is to process the claims and, if possible, reach a satisfactory settlement without the need for a court hearing. Should this prove unsuccessful the claim will go before the District Court judge. The small claims procedure was initially introduced on a pilot basis in 1991 and was extended nation-wide in 1993 following on from the success of the pilot scheme. The current fee payable for using the procedure is £6.

To avail of the procedure a person must have bought goods or services for private use from someone selling them in the course of business. Claims may be made for bad workmanship or faulty goods as far as most everyday transactions are concerned but not or debts or personal injuries. When the scheme was extended in 1993, the non-return of rent deposits and minor damage to privately-owned property were included. The operation of the small claims procedure was reviewed in 1999 and examined such issues as the monetary limit which applies, the scope of the procedure and the fees payable under it. Following the review, I increased the monetary limit which applies to claims made under the procedure from £600 to £1,000. While the review did not include a survey of the satisfaction levels of clients of the procedure, I am aware that the procedure is perceived generally as being a success due to its consumer orientation.

Within the procedure, the person making the claim is called the "applicant" and the person against whom the claim is made is called the "respondent". If a claim is made and is not disputed by the respondent, an order is made for the payment of the amount sought. Should the respondent dispute or counterclaim, the Small Claims Registrar may interview and-or invite both parties to discuss the claim in an effort to reach agreement. If no agreement can be reached the case is listed for court. If the court finds in favour of the applicant, it will make a formal order for the amount claimed. Likewise, the procedure provides that if the respondent does not reply to the claim within a set period the claim is automatically treated as undisputed and an order is made by the registrar for the amount claimed. Both parties to the case are then notified of the order and, in so far as enforcement in concerned, if payment is not made, the matter can be referred to the relevant city or county sheriff in Dublin or Cork, or county registrar elsewhere for execution. In the event of the matter being referred to the sheriff a further fee of £6 will apply, but this amount will be refunded if the sheriff succeeds in executing the court order. This may be done in any case where a party does not comply with the court order.

I will forward statistical data on the small claims procedure for 1998 for the Deputy's information which,inter alia, sets out the number of decrees enforced by sheriffs in 1998 and the number which were not enforced. As sheriffs are independent in the exercise of their duties, information as to the timescales for these enforcements is not available.

For the first 12 month period of the scheme's operation in 1993-94, a total of 2,216 applications were received. This number has increased by 22% in 1998 to 2,706. Over the duration of the scheme, the registrars have consistently managed to settle approximately 50% of all cases. Of the remaining cases, approximately 20% proceed to a full court hearing. The remaining 30% includes cases where decrees are issued by default, claims which are withdrawn, or claims not covered by the small claims procedure.