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What You Can (and Can't) Sue For in Ontario Small Claims Court

Find out what claims Ontario Small Claims Court can and can't handle — unpaid debts, property damage, defective services, and the damages the court cannot award.

LitigationNaN min readTSLBy the Treadstone Law team · OntarioUpdated 2026-06
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Key takeaways
  • Small Claims Court is a branch of the Superior Court of Justice in Ontario.
  • If someone owes you money — a personal loan, an unpaid invoice, a bounced cheque — and the amount is within the $35,000 limit (as of writing), Small Claims Court is built exactly for this.
  • Divorce, Separation, and Family Law Matters No.

Ontario Small Claims Court is designed to be the "people's court" — a faster, cheaper path to resolving everyday civil disputes without the full cost and complexity of the Ontario Superior Court of Justice. But it has firm boundaries. Walk in with the wrong type of claim, or a claim that exceeds the court's authority, and you will either be turned away or severely limit your recovery.

This guide gives you a plain-language breakdown of what the court can and cannot do, the types of damages you can recover, and a few important "maybe" situations where the answer depends on your specific facts.

The Basics: What Is Small Claims Court?

Small Claims Court is a branch of the Superior Court of Justice in Ontario. It handles civil (non-criminal) disputes up to a monetary limit — as of writing, that limit is $35,000 (not counting interest and costs). Verify the current limit at ontario.ca before you file, as the government can and does adjust it.

The court is designed for self-represented parties, though lawyers and paralegals are permitted. Hearings are less formal than Superior Court. The tradeoff: the remedies available are more limited.

What You CAN Sue For

Unpaid Debts and Loans

Yes. If someone owes you money — a personal loan, an unpaid invoice, a bounced cheque — and the amount is within the $35,000 limit (as of writing), Small Claims Court is built exactly for this. You will need evidence: a written loan agreement, text messages confirming the debt, bank records, or invoices. A verbal agreement can support a claim, but it is harder to prove.

Breach of Contract

Yes. When one party to a contract fails to deliver what was promised — a contractor who abandoned a renovation, a supplier who never shipped goods, a landlord who kept a deposit without lawful reason — you can sue for the financial loss that resulted. The court will look at what the contract required, what actually happened, and what it cost you.

Property Damage

Yes. If someone negligently or deliberately damaged your property (a neighbour's tree fell on your fence, a contractor cracked your foundation, someone rear-ended you and you are pursuing the vehicle damage portion), you can claim the cost of repair or the reduction in value. Keep your repair quotes and receipts.

Defective Goods or Services

Yes. Consumers who paid for goods or services that did not meet a reasonable standard — a mechanic who charged for work not done, a contractor who used substandard materials, a retailer who sold a product that failed immediately — have a claim in contract and sometimes under provincial consumer protection legislation. You are generally entitled to the cost of fixing the problem or the difference between what you paid and what you actually received.

Residential Security Deposits and Rent Disputes (Some)

Maybe. Landlord-tenant disputes in Ontario are primarily handled by the Landlord and Tenant Board (LTB), not Small Claims Court. However, some disputes — particularly involving commercial tenancies or situations that fall outside the LTB's jurisdiction — can proceed in Small Claims Court. If you are a residential tenant or landlord, check whether the LTB is the right venue before filing in Small Claims Court.

Minor Personal Injury

Yes, within limits. You can sue for personal injury damages in Small Claims Court if your claim falls within the monetary limit (as of writing, $35,000). In practice, serious personal injury claims — where medical expenses, income loss, and pain and suffering quickly exceed that threshold — belong in Superior Court. But minor soft-tissue injuries, modest medical expenses, or small income-loss claims may fit.

What Small Claims Court CANNOT Do

Divorce, Separation, and Family Law Matters

No. Division of property, child custody and access, child support, and spousal support are all outside Small Claims Court entirely. These matters belong to the Family Court branch of the Superior Court of Justice. There is no shortcut here.

Criminal Charges

No. Small Claims Court is a civil court. It cannot convict anyone, impose fines payable to the Crown, or result in jail time. If you have been the victim of fraud or theft, you may have both a civil claim and the option to report to police — but those are separate processes.

Claims Over the Monetary Limit

No — or not fully. If your actual loss exceeds $35,000 (as of writing), you have two choices: voluntarily reduce your claim to fit the limit (called "abandoning" the excess), or sue in Superior Court where there is no cap. You cannot split a single claim into two Small Claims Court actions to get around the limit. If you abandon the excess, you permanently give up the right to recover it.

Injunctions and Court Orders to Stop Behaviour

No. Small Claims Court can only award money. It cannot order someone to stop doing something, hand over specific property, or perform an obligation. If you need a court to stop a nuisance, prevent a breach of confidence, or compel action, you need Superior Court.

Most Employment Law Disputes

Usually no. Employment claims in Ontario typically belong before the Ontario Labour Relations Board, the Human Rights Tribunal of Ontario, or are pursued through the Employment Standards Act complaint process — not Small Claims Court. There are narrow exceptions (for example, a straightforward unpaid wage claim where an employee chooses to sue in court rather than file an ESA complaint), but employment law is specialized enough that you should get advice before deciding where to file.

Understanding Damages: Why You May Not Recover Everything

Even when you win, you may not recover your full loss. Ontario civil courts recognise two main categories of damages:

A common frustration: people who were clearly wronged still walk away with less than they expected because they could not document every loss, or because the judge reduced damages for failing to "mitigate" — that is, taking reasonable steps to minimise the harm.

Costs (legal fees) are also limited in Small Claims Court. Even if you win, you will likely only recover a fraction of what you spent on legal help.

Frequently asked questions

Can I sue for emotional distress in Ontario Small Claims Court?

You can include a claim for emotional distress, but it is difficult to win significant damages without evidence — for example, a documented psychological diagnosis, treatment records, or proof that the distress was a direct and foreseeable result of the defendant's conduct. Courts are cautious about awarding large sums for emotional harm alone.

What if my claim is worth more than $35,000?

As of writing, you can either reduce your claim to $35,000 (permanently abandoning the excess) and use Small Claims Court, or pursue the full amount in Ontario Superior Court of Justice. The better path depends on the size of your claim and your appetite for a longer, more expensive proceeding.

Do I have a time limit to sue?

Yes. Ontario's basic limitation period is two years from the date you discovered (or reasonably should have discovered) the claim — as of writing. Missing this deadline almost always means losing your right to sue, no matter how strong your case. Verify current limitation rules with a lawyer, as exceptions and special rules exist.

Can a business sue in Small Claims Court?

Yes. Corporations, partnerships, and sole proprietors can all sue and be sued in Small Claims Court. A corporation must be represented by a director, officer, employee, or licensed legal representative — it generally cannot be "self-represented" by someone who is not a licenced paralegal or lawyer, depending on the circumstances.

This article is general information, not legal advice. Reading it does not create a lawyer-client relationship. Ontario laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a licensed Ontario lawyer. Treadstone Law is licensed by the Law Society of Ontario — reach us at 1-844-900-1070 or start a file online.

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