Small claims courts are local courts designated to serve a particular county. This makes sense because usually the dollar amounts allowed in small claims cases aren't large enough to justify people traveling great distances to go to court, and normally, your dispute will be with a person or business located nearby.
You’ll follow the venue rule when deciding which small claims court to file your case in. In most states, you can sue in the county in which:
Occasionally, however, the person or business you want to sue lives far from where you live. How you should proceed depends on whether the defendant is located in your state or a different state.
For more information, see If, When & Where to File a Lawsuit.
The basic rule is that state courts–including small claims courts–only have the power to hear cases involving individuals who live in or are present in the state. Lawyers call this jurisdiction.
If you want to sue someone who lives in another state, you will have to sue in the state where the person lives, not in the state where you live. Often you can file papers with the court by mail, but you’ll have to follow the state’s rules when serving the court papers on the defendant.
Also, you should expect to show up in person on court day. However, some states allow people on active duty in the military—and occasionally others—to present their case entirely in writing.
Find the answers to more preliminary questions in Small Claims Court FAQ.
There are, however, circumstances under which you can use your state's small claims court to sue an out-of-state resident:
Learn more about personal jurisdiction and the minimum contacts someone must have to be sued in your state.
Most large national businesses can be sued in any state, but smaller businesses that are headquartered in another state, do no business in your state, and have no physical presence in your state can be sued only in the states where they operate.
Here are the specific rules you’ll follow.
When it comes to suing a business in small claims court, you can sue any business that is organized (incorporated or established as an LLC) in your state.
In addition, you can bring suit against any business–whether incorporated or not–if one of the following conditions is true:
Example 1. While on vacation in Florida, you slip and fall in the ticket office of a small locally owned commuter airline that operates only in Florida. When you return home to Maine, you file suit against the airline for your injuries in small claims court. The judge will toss out your case because Maine courts do not have jurisdiction to hear a case involving a defendant that doesn't operate, advertise, or solicit business in Maine. The only place you can sue the airline is in Florida.
Example 2. You're at home in Maine and planning your vacation to Florida, and you slip and fall in the ticket office of a national airline that has its headquarters in Florida. This time, you can sue the airline for your injuries in small claims court. The fact that the airline does business in Maine gives this state's courts the power to hear your case, even though the airline has its headquarters elsewhere.
Example 3. You own a small graphic design company in Maine and negotiate a contract over the phone and via email with a clothing designer in New York to design business cards and signs for a new store that the clothing designer plans to open in Maine. You complete the work on time but the designer refuses to pay you. Can you sue the designer in Maine's small claims court? Yes. It's arguable whether the contract was negotiated in Maine, but it's a fact that you performed the work in Maine. Thus, you can sue the designer in Maine small claims court if you can serve your court papers on the designer within Maine's borders.
Find out about the most common types of lawsuits filed in small claims court.