What You Need to Know (The Straight Story)
State Laws Vary (Surprise!)
Small claims limits range from $10,000 to $25,000 depending on your state. Court procedures differ. NSW law isn't the same as VIC law. Check your state's specific requirements.
Time Limits Are Strict
Usually 6 years for contract disputes, 3 years for personal injury. Varies by state and claim type. Miss your limitation period and you're done. No extensions, no sympathy.
Try to Resolve First (Good Faith Requirement)
Australian courts expect you to genuinely attempt resolution before litigation. A proper demand letter demonstrates you tried. Skip it and judges won't be happy.
Consumer Law is Federal
Australian Consumer Law is national (ACL), but state consumer tribunals handle claims differently. Know which forum applies to your specific situation.
Australian Legal System (The Short Version)
Australia operates under common law with federal and state legislation. Federal law covers consumer protection (ACL), corporations, and bankruptcy. State law governs contracts, property, and small claims. Small claims limits vary by state: NSW $20K, VIC $10K, QLD $25K, etc. Tribunals (like VCAT, NCAT) handle consumer disputes separately from courts. Limitation periods are strict. This isn't legal advice - see a solicitor for complex matters.
Common Questions
Do I need a lawyer? (Maybe not for small claims)
For disputes under your state's small claims limit, you can usually handle it yourself. VCAT, NCAT, QCAT etc. are designed for self-representation. Anything complex or high-value, get legal advice.
What if they just ignore me?
You'll need to file with your state tribunal or court. The demand letter shows you tried to resolve it, which is required. But it's not magic - some people still won't pay until forced.
Can I claim interest on the debt?
Depends on your state and whether you had a contract. Some states allow statutory interest, others don't. Check your state's legislation or ask a lawyer.
What about the ACL (Australian Consumer Law)?
ACL provides strong consumer protections nationally. If your dispute involves consumer guarantees, the ACL probably applies. Mention it in your letter if relevant.
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