Small Claims Court Rules: Litigation Process Concerns Including Procedural Mandates | Mole Legal Services
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Small Claims Court Rules:

Litigation Process Concerns Including Procedural Mandates



Last Updated: August 27 2026

Question: How does the Small Claims Court procedure work in Ontario, and what’s the $35,000 limit based on?

Answer: In Ontario, Small Claims Court procedure is governed by the Rules of the Small Claims Court (O. Reg. 258/98), and the court may give directions or use related practice by analogy, including where appropriate reference to the Rules of Civil Procedure, R.R.O. 1990, Regulation 194, with a key access-to-justice flexibility confirmed in Kelava v. Spadacini, 2021 ONCA 428.   The court is called “Small Claims” because it generally handles money disputes under $35,000 effective January 1, 2020, but that threshold applies exclusive of court costs, legal representation costs, and interest.   If you want help mapping the right forms, steps, and timelines, Mole Legal Services provides paralegal and property management support across Ontario, call (647) 709-5157 for practical guidance.

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It Is the Small Claims Court Rather Than the Simple Cases Court

It is called the Small Claims Court instead of the Simple Claims Court because lawsuits for amounts under $35,000 may be just as complicated, and perhaps more so, than many legal cases that are above the $35,000 limit of Small Claims Court (the limit of $35,000 became effective January 1 2020).  Do note that the $35,000 limit applies exclusive of court costs, legal representation costs, and interest.

Note: Please contact Mole Legal Services by phone at: (647) 709-5157 to discuss any specific questions that you may have.

The Procedural Law

Similarly to legal disputes for amounts over the $35,000 limit of the Small Claims Court, as are litigated within the higher court, a Small Claims Court case involves a procedural set of rules that apply and govern the stages and steps within the process of how a legal matter is conducted. Additionally, the substantive law specific to the issues within the legal dispute also apply. For a Small Claims Court case, the Rules of the Small Claims Court set out the procedural law as, essentially, a how to manual for the requirements of conducting a Small Claims Court case. This procedural law prescribes the documents required as well as a general step-by-step outline for how a case moves from one stage to another stage.

Interestingly, the Rules of the Small Claims Court may be applied very significantly flexibility as well as reference to the Rules of Civil Procedure, R.R.O. 1990, Regulation 194, whereas such flexibility is prescribed within the statute as well as confirmed within the case of Kelava v. Spadacini, 2021 ONCA 428 where it is respectively stated:


General Principle

1.03 (1) These rules shall be liberally construed to secure the just, most expeditious and least expensive determination of every proceeding on its merits in accordance with section 25 of the Courts of Justice Act.

Matters Not Covered in Rules

(2) If these rules do not cover a matter adequately, the court may give directions and make any order that is just, and the practice shall be decided by analogy to these rules, by reference to the Courts of Justice Act and the Act governing the action and, if the court considers it appropriate, by reference to the Rules of Civil Procedure


[15]  The Small Claims Court is a branch of the Superior Court of Justice. It handles nearly half of the civil disputes in the province. The court is meant to provide an efficient, cost-effective forum for the resolution of civil disputes involving less than $35,000. It hears cases in a summary way and “may make such order as is considered just and agreeable to good conscience”: The Courts of Justice Act, R.S.O. 1990, c. C.43, s. 25.

[16]  In short, the court embodies the foundations of access to justice: informality, affordability, timely resolution, accessibility for self-represented people and active judicial engagement. By providing access to justice, the court has an important role in the administration of justice for the province.

...

[18]  The rules are to be read in their entire context having regard to their nature, purpose, scheme, and object.  The Small Claims Court Rules, read in their entirety, emphasize facilitating access to justice. They begin with guidance as to their interpretation. Rule 1.03(1) provides:

These rules shall be liberally construed to secure the just, most expeditious and least expensive determination of every proceeding on its merits in accordance with section 25 of the Courts of Justice Act. O. Reg. 258/98, r. 1.03 (1). [Emphasis added]

[19]      To further provide for the achievement of their objectives, the rules give broad discretion to the court. If the rules do not directly address a matter, the court may give directions and make “any order that is just”. In order to implement the order, the practice is to be decided by analogy to the Small Claims Court Rules. Then, “if the court considers it appropriate” the court may refer to the Rules of Civil ProcedureRule 1.03(2) provides:

If these rules do not cover a matter adequately, the court may give directions and make any order that is just, and the practice shall be decided by analogy to these rules, by reference to the Courts of Justice Act and the Act governing the action and, if the court considers it appropriate, by reference to the Rules of Civil Procedure. O. Reg. 78/06, s. 3. [Emphasis added.]

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For sources of further helpful information regarding the rules of procedure and forms applicable to the Small Claims Court, see:

Learn More About
Rules of the Small Claims Court
Learn More About
Forms of the Small Claims Court
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