Last updated based on the Supreme Court’s Revised Rules of Procedure for Small Claims Cases (A.M. No. 08-8-7-SC, as amended). This is a practical reference and not a substitute for legal advice.

1) What a “Small Claim” Is—and Isn’t

Small claims are civil actions for the payment or reimbursement of money. Typical examples:

Unpaid loans, goods sold and delivered, unpaid services, rentals, deposits, or utilities
Civil liability for B.P. 22 (bounced checks) without the criminal aspect
Claims for liquidated damages (i.e., a sum certain fixed by contract)

Not covered:

Ejectment/eviction (that follows the Rules on Summary Procedure, not small claims)
Specific performance other than payment of money (e.g., to do or not do an act)
Probate, marital status, adoption, guardianship, habeas corpus, class suits
Labor disputes (NLRC), agrarian/tenancy (DARAB), intellectual property (if beyond money claim)
Claims against the State or its agencies when immunity applies

Effect on related claims. Counterclaims and cross-claims are allowed if each fits within the monetary cap and otherwise qualifies as a small claim.

2) Monetary Limits (Jurisdictional Amount)

Small claims jurisdiction is set by the Supreme Court through the Small Claims Rules (A.M. No. 08-8-7-SC, as amended from time to time).

The jurisdictional amount is computed on the principal claim only. Exclude interest, penalties, moral/exemplary damages, attorney’s fees, and costs when checking the cap.
The cap has been periodically increased over the years (e.g., from ₱100,000 to ₱200,000/₱300,000, then ₱400,000, and later higher). Because it changes by Court issuance, confirm the current peso ceiling with the clerk of the first-level court or from the latest Supreme Court circular before filing.
If your principal exceeds the current cap—even by a small amount—the case is not a small claim (you may either waive the excess to stay within the cap or file a regular/summarized civil action).

3) Where to File (Venue and Proper Court)

Court: File in the first-level courts—Municipal Trial Courts (MTC), Municipal Circuit Trial Courts (MCTC), or Metropolitan Trial Courts (MeTC)—with territorial jurisdiction over the venue.

Venue (general): Where plaintiff resides or where defendant resides, at the plaintiff’s option (natural persons). For corporations/partnerships, venue is where their principal office is located or where the plaintiff resides.

Katarungang Pambarangay (Barangay) conciliation: If both parties are natural persons who reside in the same city/municipality, most money disputes must first undergo barangay conciliation/mediation. Attach the Certificate to File Action (CFA) to your Statement of Claim. Exceptions include disputes involving juridical persons, where any party is the government or a public officer in relation to official duties, when parties live in different cities/municipalities with no adjoining barangays, cases with urgent legal relief, etc.

4) Who May Appear

Individuals must appear personally. Lawyers cannot appear as counsel (unless the lawyer is the party). You may bring a non-lawyer friend/relative for assistance, but they cannot speak in your place.
Juridical persons (corporations, partnerships, cooperatives) appear through a representative (not a lawyer acting as counsel) authorized by board resolution, secretary’s certificate, partnership resolution, or special power of attorney (SPA).
Interpreters/assistive support may be allowed for persons with disabilities or language barriers.

5) Required Forms and Documents

The Supreme Court provides pre-printed forms (free, at the clerk of court or the Judiciary website). Prepare and file:

Statement of Claim (Form 1-SCC)
- Clearly state the facts, amount claimed (principal only), and relief sought.
- Provide complete addresses, mobile numbers, and email for the parties to enable electronic service.
Verification and Certification of Non-Forum Shopping
- Usually integrated into the Statement of Claim form; sign under oath.
Supporting Evidence (Annexes)
- Contracts, promissory notes, invoices, official receipts, delivery receipts, statements of account
- Demand letters and proof of receipt/dispatch
- Checks and bank return memos (for B.P. 22 civil liability)
- Affidavits of witnesses (using the small claims affidavit form), with IDs
- Barangay CFA if required (see Section 3)
For companies/partnerships: board/secretary certificate or SPA authorizing the representative.
Number of sets: Original for the court, plus service copies for each opposing party (and one for yourself). Label and paginate all annexes.

Tip: Use clear, legible photocopies; bring the originals at hearing for authentication if needed.

6) Fees, Indigency, and Cost Recovery

Filing and docket fees are based on the amount of the principal claim (plus minor add-ons). Ask the clerk of court for the exact computation.
Indigent litigants (per Rule and statute) may apply to litigate as pauper and have fees waived upon showing income/assets below the threshold and/or submission of an affidavit of indigency with supporting proof.
The court may award costs and legal interest on the principal (legal interest is generally 6% per annum from the time the amount is judicially demanded or as otherwise allowed; the judge will specify the reckoning point).

7) Filing and Service (Including E-Service)

Filing: Submit the filled-out forms and annexes to the proper first-level court’s Office of the Clerk of Court; pay fees or present indigency papers.
Issuance of Summons: The court promptly issues summons and notice of hearing.
- Service may be via personal service, substituted service, registered mail, accredited courier, and—if the party indicated contact details or consented—email, mobile messaging, or other electronic means.
Proof of Service: Sheriffs/process servers file returns; parties who serve pleadings file proofs (registry receipts, courier tracking, email headers, screenshots, etc.).

8) Defendant’s Response

The defendant must file a Response (Form 3-SCC) within the period stated in the summons (typically 10 days from receipt, unless the court states otherwise), attaching evidence and any counterclaims that qualify as small claims.
No motion to dismiss is allowed except for lack of subject-matter jurisdiction (e.g., exceeding the monetary cap or not a money claim).
No third-party complaints and no discovery (interrogatories, depositions) are allowed.

9) Hearing and Trial Format

Small claims emphasize speed, informality, and access:

Single, face-to-face hearing (videoconference may be used when authorized).
The judge actively asks questions to elicit facts; strict technical rules of evidence are relaxed, but relevance and authenticity still matter.
No lawyers as counsel (see Section 4).
The court aims to decide on the same day after hearing. If not practicable, decision is issued within a few days.

Mediation/JDR: The small claims judge may attempt amicable settlement at the start of hearing. Any settlement is reduced to judgment upon compromise, immediately final and executory.

10) Judgment, Finality, and Remedies

The Decision is final, executory, and unappealable under the Small Claims Rules.
No motion for reconsideration and no appeal are allowed.
Extraordinary remedies (e.g., Rule 65 certiorari) are not part of ordinary small claims flow and are entertained only in exceptional situations (e.g., grave abuse of discretion, lack of jurisdiction). Expect strict scrutiny.

11) Execution (How You Actually Collect)

After judgment, file a Motion for Execution if the debtor does not voluntarily pay.
The court issues a Writ of Execution; the sheriff may:
- Levy on non-exempt personal or real property of the debtor
- Garnish bank accounts, receivables, or salaries (subject to legal limitations)
- Coordinate with third parties holding the debtor’s assets (employers, banks)
Parties may also agree on installment or structured payment plans; the court can approve and monitor compliance.

12) Prohibited Pleadings and Filings (Common Pitfalls)

To keep the process quick, the Rules typically ban:

Motions to dismiss (except for lack of subject matter jurisdiction)
Motions for bill of particulars
Motions for new trial or reconsideration
Demurrers to evidence
Motions for extension of time
Petitions for relief from judgment
Interventions, third-party complaints
Discovery (interrogatories, depositions, requests for admission/production)
Appeals

Filing any of the above usually wastes time and may be summarily denied.

13) Evidence Checklist (What Judges Look For)

Clear paper trail of the debt: contract, promissory note, invoice, job order, acknowledgment receipt
Delivery/performance proof: waybills, DRs, acceptance/turnover sheets, timesheets, photos
Demand: letter or messages and proof of receipt (registry return, email read receipts, screenshots)
Computation of principal, interest (if any), and penalties per contract (even though only the principal counts for jurisdiction, the court can award interest/penalties if warranted)
Identity/authenticity: IDs, corporate authority documents (for juridical parties)
For B.P. 22 civil: the check, bank dishonor slip/return memo, and proof of consideration (what the check was for)

14) Timelines (Typical—but Courts May Vary Slightly)

Filing → docketing and issuance of summons within days
Service of summons → Response due (often 10 days from receipt)
Hearing set promptly (courts often target within 30–60 days from filing)
Same-day decision if possible; otherwise within a short period
Execution upon motion if not voluntarily satisfied

15) Strategic Tips for Litigants

Stay within the cap: If your principal slightly exceeds the cap, consider waiving the excess to avail of small claims speed and lower cost.
Front-load your evidence: Bring originals; mark and paginate annexes; prepare a simple, numbered fact timeline.
Use the forms: They are designed for non-lawyers and ensure compliance with verification and forum-shopping certifications.
Mind barangay conciliation: Skipping a required CFA can lead to dismissal without prejudice.
Be reachable: Provide your email and mobile—this enables faster e-service of notices and orders.
Arrive early: Small claims calls are fast; being late can mean dismissal (if plaintiff) or ex parte judgment (if defendant).

16) FAQs

Q: Can I hire a lawyer to argue for me? A: No. Parties must personally appear. A lawyer may attend as your friend but cannot act as counsel. If you are a corporation/partnership, send an authorized representative (not as counsel).

Q: What if the other side ignores the case? A: The court may render judgment based on your evidence if the defendant fails to file a response or appear, provided proper service of summons is proven.

Q: Can I settle on installment? A: Yes. The court can issue a judgment on compromise that reflects your payment schedule; breach allows execution for the balance.

Q: What interest can the court award? A: Courts generally apply the prevailing legal interest (commonly 6% per annum) from a legally appropriate reckoning date, unless a valid contractual rate governs and is not unconscionable.

Q: Can I appeal if I lose? A: No appeal is allowed. Only extraordinary remedies may be available in rare cases (e.g., lack of jurisdiction).

17) Quick Pre-Filing Checklist

Correct venue selected (plaintiff or defendant residence/principal office)
Principal claim within the current cap (exclude interest/fees when checking)
Barangay CFA attached (if required)
Statement of Claim fully accomplished, verified, with non-forum-shopping certification
Annexes complete, legible, and paginated; bring originals to hearing
For companies: authority documents (board/secretary certificate, SPA)
Filing fees ready or indigency papers prepared
Your and the other party’s email/mobile indicated for e-service

Final Notes

The peso ceiling and certain procedural details (e.g., e-service and videoconference allowances) evolve through Supreme Court amendments and OCA circulars. Always verify the current cap and the latest local court practice when you file.
For complex scenarios (multiple parties, partial payments, set-offs, foreign parties, prescription issues), consider a brief paid legal consult before you file so you can still benefit from small claims speed with a tight evidentiary packet.