Governor Andrew Cuomo signed legislation raising the limit on what small claims court can address from $5,000 to $10,000 on Monday, Dec. 16.
The law’s sponsor, State Senate Deputy Leader Michael Gianaris, wrote that the current statutory cap for small claims does not reflect the contemporary cost of many legal challenges, particularly in New York City.
This stops bars people from resolving disputes in small claims court who cannot otherwise afford to lawyer up. The proposal is limited to New York City only.
“This is an important law that will make it easier for people to achieve justice in relatively minor disputes without needing to hire an attorney,” said Senate Deputy Leader Michael Gianaris. “I am pleased to see this legislation addressing basic fairness signed into law.”
The limit for small claims outside the City of New York remains $5,000 in city courts and $3,000 in town and village courts.
The legislation takes effect immediately.