Bill Description: Senate Bill 1330 would increase Idaho’s small claims court limit from $5,000 to $15,000.

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Senate Bill 1330 would amend Section 1-2301, Idaho Code, which deals with the scope of claims for small claims court. The bill would increase the cap from $5,000 (the limit set in 2006) to $15,000. 

While the bill’s statement of purpose cites inflation as one of the reasons for the increase, an inflation adjustment would bring the cap to a little over $8,000, based on the CPI. Even granting that the change would be intended to account for future inflation, $10,000 might be a more appropriate increase. 

There are potential advantages to raising the cap. Handling a dispute through small claims court is usually faster and less expensive than filing a lawsuit, and low caps can leave mid-size cases in a legal limbo where small claims court isn’t an option, but the cost of a lawsuit is prohibitive (and may exceed what one can realistically hope to recover).

On the other hand, as the value of these cases is increased, so often is their scope and complexity, which may render them unsuitable for the limitations of small claims court. These courts typically operate without attorneys or formal discovery, and they may lack the capacity to handle the significant quantity of evidence that can exist in more complex cases.

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