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Difference between revisions of "Responding to a Small Claim (20:VI)"

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{{REVIEWED LSLAP | date= August 6, 2021}}
{{REVIEWED LSLAP | date= August 6, 2021}}
{{LSLAP Manual TOC|expanded = smallclaims}}
{{LSLAP Manual TOC|expanded = smallclaims}}
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== A. Civil Resolution Tribunal (Claims $5,000 and Under) ==
== A. Civil Resolution Tribunal (Claims $5,000 and Under) ==


A respondent who receives a Dispute Notice must within 14 days of receiving it (or if notice was provided outside British Columbia within 30 days) complete a Dispute Response Form, provide the Dispute Response Form to the tribunal and pay the required fee (See [['''Appendix I: Civil Resolution Tribunal Fees'''|Civil_Resolution_Tribunal_Fees_(20:App_I)]]). CRT forms can be accessed on their website at:
A respondent who receives a Dispute Notice must within 14 days of receiving it (or if notice was provided outside British Columbia within 30 days) complete a Dispute Response Form, provide the Dispute Response Form to the tribunal, and pay the required fee (See [['''Appendix I: Civil Resolution Tribunal Fees'''|Civil_Resolution_Tribunal_Fees_(20:App_I)]]). CRT forms can be accessed on their website at https://civilresolutionbc.ca/resources/forms/.  
https://civilresolutionbc.ca/resources/forms/.  


A party named as a respondent to a dispute who fails to respond to a properly delivered Dispute Notice by the date shown on the notice is in default. If every respondent is in default, an applicant may request a default decision and order from the tribunal. However, if there are multiple respondents and only one respondent is in default, the entire dispute is assigned to a tribunal member, unless it is otherwise settled in the facilitation process. See [[Small_Claims_Default_Order_(20:VII)|Section VII: Default Order]] for more information
A party named as a respondent to a dispute who fails to respond to a properly delivered Dispute Notice by the date shown on the notice is in default. If every respondent is in default, an applicant may request a default decision and order from the tribunal. However, if there are multiple respondents and only one respondent is in default, the entire dispute is assigned to a tribunal member, unless it is otherwise settled in the facilitation process. See [[Small_Claims_Default_Order_(20:VII)|Section VII: Default Order]] for more information
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=== 2. Apologizing ===
=== 2. Apologizing ===


Many lawsuits arise or continue because a wrongdoer has not apologised to the party who was wronged. In BC, a person may apologize for a wrongful act or failure to act without the apology becoming an admission of liability (''Apology Act'', SBC 2006, c 19, 2(1) and (2)). A sincere apology can often avert litigation or form an important foundation for a settlement.
Many lawsuits arise or continue because a wrongdoer has not apologized to the party who was wronged. In BC, a person may apologize for a wrongful act or failure to act without the apology becoming an admission of liability (''Apology Act'', SBC 2006, c 19, 2(1) and (2)). A sincere apology can often avert litigation or form an important foundation for a settlement.


=== 3. Option to Pay all or Part ===
=== 3. Option to Pay all or Part ===


If a defendant pays the entire amount of the claim directly to the claimant, the defendant need not file a Reply (''SCR'', Rule 3(1)(a)). The defendant should retain a receipt as proof of payment and request that the claimant withdraw the claim. Only the claimant may withdraw a claim and, if a withdrawal is filed, all parties who were served with the Notice of Claim must be served with a copy of the withdrawal.
If a defendant pays the entire amount of the claim directly to the claimant, the defendant need not file a Reply (''SCR'', Rule 3(1)(a)). The defendant should retain a receipt as proof of payment and request that the claimant withdraws the claim. Only the claimant may withdraw a claim and, if a withdrawal is filed, all parties who were served with the Notice of Claim must be served with a copy of the withdrawal.


When considering this option, a defendant should be aware of other possible problems aside from the lawsuit. For example, if the claimant has placed derogatory information on the defendant’s credit file, the defendant should ask the claimant to remove this negative information as part of the settlement. If the claimant is unwilling to remove the information, the defendant may still settle the claim but may find it difficult or impossible to remove the information from the credit file. The process for removing incorrect information from a person’s credit file is outside the scope of this guide.
When considering this option, a defendant should be aware of other possible problems aside from the lawsuit. For example, if the claimant has placed derogatory information on the defendant’s credit file, the defendant should ask the claimant to remove this negative information as part of the settlement. If the claimant is unwilling to remove the information, the defendant may still settle the claim but may find it difficult or impossible to remove the information from the credit file. The process for removing incorrect information from a person’s credit file is outside the scope of this guide.
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If the defendant who has filed a Reply believes that a person or legal entity other than the claimant should pay all or part of the claim, they may make a claim against that other party by completing a Third Party Notice. Find Form 3 at https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms. If a settlement conference, mediation session, or a trial conference has not been held, leave of the court is not required (''SCR'', Rule 5(1)(a)). If any of these have been held, the defendant must apply to the court for an order permitting the counterclaim to be filed against the third party (''SCR'', Rule 5(1)(b)).
If the defendant who has filed a Reply believes that a person or legal entity other than the claimant should pay all or part of the claim, they may make a claim against that other party by completing a Third Party Notice. Find Form 3 at https://www2.gov.bc.ca/gov/content/justice/courthouse-services/documents-forms-records/court-forms/small-claims-forms. If a settlement conference, mediation session, or a trial conference has not been held, leave of the court is not required (''SCR'', Rule 5(1)(a)). If any of these have been held, the defendant must apply to the court for an order permitting the counterclaim to be filed against the third party (''SCR'', Rule 5(1)(b)).


A third party claim is different from a claim against the incorrect defendant. A third party claim is made when a defendant believes that a third party should reimburse them if they are found to be liable to the claimant. For example, if a defendant is sued for a credit card debt, the defendant may third party the cardholder who actually spent the money giving rise to the debt.
A third-party claim is different from a claim against the incorrect defendant. A third party claim is made when a defendant believes that a third party should reimburse them if they are found to be liable to the claimant. For example, if a defendant is sued for a credit card debt, the defendant may request that the third-party, the cardholder who actually spent the money, gives rise to the debt.


A defendant who wishes to issue a third party notice should review '''Section III. Do You Have A Claim?''' and '''Section IV. Choosing The Proper Forum'''. A third-party claim is essentially a Notice of Claim but in a different form. A third party claim must have a legal basis and there are penalties for proceeding to trial if there is no reasonable basis for success.
A defendant who wishes to issue a third party notice should review '''Section III. Do You Have A Claim?''' and '''Section IV. Choosing The Proper Forum'''. A third-party claim is essentially a Notice of Claim but in a different form. A third party claim must have a legal basis and there are penalties for proceeding to trial if there is no reasonable basis for success.
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==== b) Replying to a Third Party Notice ====
==== b) Replying to a Third Party Notice ====


Once served, a third party must follow the same rules as replying to a Notice of Claim (''SCR'', Rule 5(7)). The third party should review this section of the guide in its entirety.
Once served, a third party must follow the same rules as replying to a Notice of Claim (''SCR'', Rule 5(7)). The third-party should review this section of the guide in its entirety.


==== c) Adding a Third Party through the Civil Resolution Tribunal ====
==== c) Adding a Third Party through the Civil Resolution Tribunal ====
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The registry will serve the Reply and Counterclaim, if any, on each of the other parties (''SCR'', Rules 3(5) and 5(6)).
The registry will serve the Reply and Counterclaim, if any, on each of the other parties (''SCR'', Rules 3(5) and 5(6)).


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