What You Need to Know (The Important Stuff)
State Law Matters (A Lot)
Each state has its own small claims limits ($2,500 in Kentucky to $25,000 in Tennessee), statutes of limitations, and consumer protection laws. What works in California doesn't necessarily apply in Texas.
Small Claims Court Varies
Small claims limits range from $2,500 to $25,000 depending on your state. Some states allow lawyers, others don't. Know your state's rules before you start.
Statute of Limitations
Most states give you 3-6 years for written contracts, 2-4 years for oral agreements. Some states have shorter periods. Don't wait too long or you lose your right to sue.
Consumer Protection Laws
The FTC provides federal protection, but many states have stronger laws. California's Consumer Legal Remedies Act, Texas DTPA, and others provide additional remedies and treble damages.
US Legal Framework (The 30-Second Version)
The United States operates under a federal system with significant state autonomy. Federal laws like the Fair Debt Collection Practices Act (FDCPA), Fair Credit Reporting Act (FCRA), and FTC Act provide baseline protections. But most contract and consumer disputes are governed by state law. Each state has its own Uniform Commercial Code (UCC) adoption, consumer protection statutes, and small claims procedures. Small claims courts are designed for self-representation - no lawyer required in most states. A demand letter is often the first step and frequently resolves disputes without court. This tool helps you create that first step - but for anything over your state's small claims limit or involving complex legal issues, consult an attorney.
Common Questions (Because Everyone Asks)
Do I need a lawyer?
For small claims court, usually no - that's the whole point. For amounts above your state's limit or complex cases, probably yes. This tool helps with the demand letter, which is typically the first step before any legal action.
Will a demand letter actually work?
Often, yes. Most businesses and individuals prefer to settle rather than deal with court. A demand letter shows you're serious and informed. It doesn't guarantee payment, but it's effective leverage.
What if they ignore it?
Then you follow through with small claims court. The demand letter establishes a paper trail and shows the court you tried to resolve it. Many judges appreciate seeing a reasonable demand was made first.
Can I sue in federal court?
Only for federal law violations or diversity jurisdiction (different states, over $75,000). Most consumer disputes stay in state court. Small claims is usually your fastest, cheapest option.
Ready to Get What You're Owed?
Generate your demand letter in minutes. State-specific, legally sound, and professionally formatted. Free to use, no account required.
Generate Your Demand Letter Now