Small Claims is it worth Pursuing?

[Jiggers]

When I have had the one occasion to file against a non-payer in Texas Small Claims Court, I went to the Courthouse, talked to the Justice of the Peace for my precinct, paid his fee, gave him a copy of the bill, and he sent the Constable out to collect my fee, plus the filing fee.

A few days later the Constable showed up with a money order for my fee plus the filing fee.

One and only time that I have had to file.

I have another one that owes me and I will file after I have a long talk with him and his business. One that sells adult beverages with a very high proof. I might try to get some out in trade, but the bill is significant and I don't think I know anyone that could drink that much, especially Dewars!

Other than using Cousin Lenny to pay a night visit and rearrange some bones..........{j k :÷) }

[equinecpa]

How cut/dry is it that the client owes you money? What exactly did you do? (i've taken someone to small claims court, not tax related, and went against an attorney.. we settled out in the hallway). So it can be done.

Chris

My perspective:

10/2005: I timely filed 2004
10/2006: Started work on 2005. Have email dated 10/06 requesting information. Have a forward of that same email requesting information dated 04/2007, then 08/2007. Called and left messages at different times.

Client would call randomly and ask when his returns would be complete -my response when I had all the information to complete them.
09/10/2007: Client responded with some answers
10-11/2007: I reinput client data as I couldn't find it after switching computers. I did not bill for this time.
03/2008: I had further questions for client.
04/2008: Completed 2005 & 2006 returns. Client sent individual to pick them up.
05/2008: I billed for all 3 years.

His perspective: He says I took forever completing them and that I wouldn't give him his documents back. Says he called me 50 times and that he asked for his documents back and that I wouldn't return them (this is not true-I would have gladly given him his documents back and washed my hands of him at that time). He says he didn't file the 2005 & 2006 returns I prepared because they weren't right.

So how cut and dry is this? My word against his? My only evidence is emails with dates on them. I do have proof of efiling the 2004 return. I have no idea why I didn't bill it earlier?

So what do you think?

[appelman]

If you have a good case...

You might be able to get a lawyer to take it on contingency. I believe it is typically 50% if they go to trial and less if they settle.

[ChEAr$]

I too thought that attorney's were barred from small claims court.

All you need is 1. your engagement letter which client signed, 2. a tally of how the 2800 figure was arrived at, e.g. number of hours x hourly rate plus expenses to be reimbursed.

With this, you have an iron clad case.

no engagement letter? grin... probably out of luck.

Lets give Jiggers a chance to weigh in on Texas procedures.

[spanel]

How cut/dry is it that the client owes you money? What exactly did you do? (i've taken someone to small claims court, not tax related, and went against an attorney.. we settled out in the hallway). So it can be done.

Chris

[equinecpa]

What do you have to lose if you go to small claims and lose? I thought attorneys couldn't represent the litigants in small claims. If you lose you don't get your fees. If you don't pursue it you don't get your fees.

The court can award attorneys fees so I could end up having to pay HIS attorney fees!

I'm not sure about the laws in other states, but in Texas you can hire an attorney to represent you. I feel I'd surely lose if I defended myself against an attorney, but really don't feel like lining attorneys wallets just to settle this.

[WhiteOleander]

What do you have to lose if you go to small claims and lose? I thought attorneys couldn't represent the litigants in small claims. If you lose you don't get your fees. If you don't pursue it you don't get your fees.

[Nashville]

Hire an Attorney

Hate to see you go to all this extra expense. If it helps you feel better, the client has had to do the same, and is electing to pay the attorney instead of paying you.

If you hire an attorney, the net fees earned by both attorneys will most likely be more than either party's revenue or savings.

Unless you have a sufficient knowledge of the facts and how to apply them to law, you will not prevail against an experienced lawyer. And the "law" I'm referring to is civil law, not tax law.

[equinecpa]

I'm just wondering how many of you have pursued an unpaid bill in small claims court? What was the outcome?

I filed a claim in small claims court and the client is disputing it. They have hired an attorney to represent them . My bill is $2800.

My options at this time:

1) Hire an attorney and go to court but how much will that cost? Will it be worth the hassle?

2) Defend myself-but not sure I can beat an attorney at his game.

3) Drop the case and move on to paying work.

What would you do?

Carolyn