Small Claims - Is It Worth It?
Work out whether to chase an unpaid debt through the Small Claims Court or the Magistrates' Court.
Sound familiar?
- “A client has not paid and you are not sure if it is worth taking them to court.”
- “You have heard the Small Claims Court is cheap but you do not know if your debt qualifies.”
- “You do not know whether the debtor even has the money to pay if you win.”
What this tool does
Answer a few questions and this tells you whether your debt fits the Small Claims Court, the Magistrates' Court, or whether it is not worth the time and cost of chasing.
How much are you owed?
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The small claims limit in South Africa is R20,000.
What the law actually says
- •The Small Claims Court handles claims up to R20,000, brought by natural persons (not companies), with no lawyers and a low filing cost. Larger amounts go to the Magistrates' Court (district court up to R200,000, regional court up to R400,000). Whatever route you take, you must usually send a letter of demand first, and you have three years from when the debt fell due to claim before it prescribes under the Prescription Act 68 of 1969. Note: an increase in the Small Claims limit to R50,000 is under consultation - check the current limit before you file.