Available Remedies:

Question: What are the limitations of the Small Claims Court in Ontario?

Answer:   The Small Claims Court in Ontario has specific restrictions, only allowing claims for monetary awards not exceeding $35,000 and the return of personal property valued up to the same amount.  This means that claims for injunctive or declarative relief cannot be made in this court.  For individuals navigating these limitations, Denali Paralegal Services can provide valuable support, ensuring you understand your rights and the remedies available to you within this framework.

Jurisdictional Powers Restrictions

The Small Claims Court is limited powers division of the Superior Court of Justice rather than a separate and independent forum, within which judges are restricted to granting only certain forms of remedy; and accordingly, parties in Small Claims Court proceedings must seek only the remedies that fall within the jurisdiction of judges sitting in the Small Claims Court.

The Law

The Small Claims Court is a court of limited jurisdiction with restrictions upon the court, and thus restrictions upon the judges sitting within the Small Claims Court, to grant certain remedies.  Specifically, the Small Claims Court is limited to the granting the remedies prescribed by the Courts of Justice Act, R.S.O. 1990, c. C-43, as well as the Small Claims Court Jurisdiction, O.Reg. 626/00, regulation for which each respectively state:

As shown, the Small Claims Court is empowered only to grant a monetary award up to $35,000.00 as well as to order the return of property valued up to $35,000; and accordingly, the Small Claims Court is unable to provide remedies known as injunctive relief, meaning a directive that someone do something or that someone stop doing something, or declarative relief, meaning an opinion on a legal rights question.  For cases proceeding within the Small Claims Court, the issues must strictly be kept to compensatory relief issues involving the payment of money or the return of property.

Whereas the Small Claims Court is limited the powers above, only certain remedies may be claimed.  The remedies that may be claimed include, among possible others:

• Claims for actual damages, also known as special damages, being monetary compensation for precisely accountable losses suffered;
• Claims for general damages, sometimes referred to as non-pecuniary damages, being monetary compensation that is imprecise and incapable of exact calculation such as awards for pain and suffering;
• Claims for punitive damages, also known as exemplary damages, as a form of punishment intended by the court to show disdain for malicious and egregious conduct;
• Claims for rescission which involves putting parties back into the same financial position that existed prior to dealings between the parties where such includes ordering the return of property or the return of money or both; and
• Claims for disgorgement which involve the stripping of ill-gotten gains such as benefits or profits from a wrongdoer and payment of such ill-gotten gains to the victim of the wrongdoing.

Conclusion

The Small Claims Court is limited in the power to grant remedies. The Small Claims Court is empowered to grant remedies involving the payment of money or the return of property only.  The Small Claims Court is limited to a certain monetary jurisdiction, meaning the sum of money or value of property involved. Currently, the limit is a maximum of $35,000 per party.