Small Claims, Limited Civil, or Unlimited Civil: Where Does My Business File in California?

Last updated: November 2026. Reviewed by Pavel Kolmogorov, California business litigation attorney (State Bar No. 321018).

A corporation owed $20,000 belongs in limited civil court. California small claims court generally caps a business entity's claim at $6,250 and an individual's at $12,500. A limited civil case covers amounts up to $35,000, with simplified procedure and restricted discovery. Anything larger, or any case seeking relief a limited case cannot grant, is unlimited civil. A corporation or LLC needs a lawyer everywhere except small claims. Kolmogorov Law, P.C. advises businesses on where to file in Orange County, Los Angeles, and across California.

Call (909) 235-6116 or contact us online to discuss which court fits your claim, or a case filed against you in the wrong one.

The three tracks and their dollar limits

All three tracks are part of the superior court. What changes is the procedure.

Small claims is the informal track. A natural person may sue there for up to $12,500. (Code Civ. Proc., § 116.221.) Everyone else, including a corporation, LLC, or partnership, is limited to $6,250. (Code Civ. Proc., § 116.220, subd. (a)(1).) Separate, mostly lower limits apply when the defendant is a guarantor. (Code Civ. Proc., § 116.220, subd. (c).)

A limited civil case is one in which the amount in controversy does not exceed $35,000. The figure excludes attorney fees, interest, and costs. (Code Civ. Proc., § 85, subd. (a).) The relief sought must also be of a kind a limited case can grant.

Everything else is an unlimited civil case. (Code Civ. Proc., § 88.)

Small claims court for a business

Small claims is fast and cheap, and it comes with rules that business owners often learn at the hearing.

No lawyers appear, with narrow exceptions. (Code Civ. Proc., § 116.530, subd. (a).) A corporation sends a regular employee, officer, or director, and other entities appear in a similar way. (Code Civ. Proc., § 116.540, subds. (b), (c).) A business may file no more than two small claims actions over $2,500 in a calendar year. (Code Civ. Proc., § 116.231, subd. (a).)

The appeal rules are lopsided. The plaintiff has no right to appeal a loss on its own claim. (Code Civ. Proc., § 116.710, subd. (a).) A defendant who appeared at the hearing may appeal and receives a new hearing in the superior court, where lawyers may take part. (Code Civ. Proc., §§ 116.710, subds. (b), (d), 116.770.) A plaintiff who loses in small claims cannot ask for a second hearing on its claim. A defendant who loses usually can.

Our small claims guide walks through the hearing itself.

Limited civil cases up to $35,000

Limited civil is a lawsuit with fewer tools. The pleadings are simpler: special demurrers are not allowed, and motions to strike are restricted. (Code Civ. Proc., § 92.) Discovery is rationed. As to each adverse party, a party gets any combination of 35 interrogatories, document demands, and requests for admission, plus one deposition. (Code Civ. Proc., § 94.) More requires a stipulation or a court order. (Code Civ. Proc., § 95.) Witness testimony can come in by declaration if it is served at least 30 days before trial with the witness's current address within 150 miles of the place of trial. The witness must be available for service there for a reasonable period during the 20 days before trial. (Code Civ. Proc., § 98, subd. (a).)

The remedies are narrower too. A limited case cannot award more than the $35,000 ceiling, cannot grant a permanent injunction unless a statute allows it, and cannot determine title to real property. (Code Civ. Proc., § 580, subd. (b).) Appeals go to the appellate division of the superior court. (Code Civ. Proc., § 904.2.)

One rule does not relax. A company must be represented by counsel in limited civil, as our page on whether an LLC or corporation can represent itself explains.

Unlimited civil cases

Unlimited civil is the track for everything else: demands over $35,000, and cases that need a remedy a limited case cannot grant, such as a permanent injunction. It comes with full pleadings and full discovery.

A plaintiff cannot simply choose it for a small claim, and overstating the demand carries a cost risk. If the prevailing party in an unlimited case recovers a judgment that could have been rendered in a limited civil case, the award of costs is in the judge's discretion. (Code Civ. Proc., § 1033, subd. (a).) Our page on recoverable court costs covers what is at stake.

Waiving the excess to fit a smaller track

A claim slightly over a limit can be trimmed. In small claims, when the only problem is that the demand is too large, the excess may be waived. (Code Civ. Proc., § 116.220, subd. (d).) An LLC owed $7,400 can give up $1,150 and keep the case in small claims.

Whether that is wise is arithmetic. Compare what you waive against what a lawyer-run limited case would cost, and against the chance of recovering fees under the contract. A solid attorney fees clause can make the larger track the better choice. Without one, giving up a few thousand dollars is often the rational move.

When a case is in the wrong track

Classification can be challenged. A plaintiff may move to reclassify within the time allowed to amend the complaint, and a defendant within the time allowed to respond. A later motion is granted only if the case is incorrectly classified and the moving party shows good cause for the delay. The court may reclassify on its own motion at any time. (Code Civ. Proc., § 403.040, subds. (a), (b).)

Cross-complaints matter here. If a party in a limited civil case files a cross-complaint that takes the case past the ceiling, the filer pays a reclassification fee and the clerk moves the case to the unlimited track. (Code Civ. Proc., § 403.030.)

How I would place a $20,000 claim

Take the corporation owed $20,000 on unpaid invoices. Small claims would require waiving $13,750, which rarely makes sense. Unlimited civil does not fit a demand of that size. Limited civil does: the claim is under $35,000, and 35 discovery requests are usually enough for an unpaid-invoice case.

The answer changes if the customer is likely to cross-complain for a larger amount, or if you need a permanent injunction. Our page on collecting unpaid invoices covers the claims themselves, and our civil litigation practice page describes how we handle them.

What to bring to the first meeting

The contract, purchase orders, and invoices.
A statement of the amount owed, separating principal, interest, and fees.
Correspondence about the debt, including any dispute the other side has raised.
The exact legal name and entity type of the other party.
A count of small claims cases your business has filed this calendar year.

Frequently asked questions

A customer owes my corporation 20,000 dollars. Do I file in small claims, limited civil, or unlimited civil court?

Limited civil, in most cases. A California corporation can sue in small claims for no more than $6,250, so a $20,000 claim would mean waiving most of it. A limited civil case covers up to $35,000 under Code of Civil Procedure section 85, with streamlined discovery. The corporation will need a lawyer, because an entity cannot represent itself outside small claims court.

Can my LLC waive part of what it is owed so the case fits in small claims court?

Yes. California Code of Civil Procedure section 116.220 allows the excess over the small claims limit to be waived, and the waiver takes effect at judgment. For an LLC the limit is $6,250, so the question is whether the amount given up is less than the cost of a limited civil case. Once judgment is entered, the waived portion is generally gone.

What is the small claims limit for a business in California?

It depends on the form of the business. A corporation, LLC, or partnership may sue for up to $6,250 under Code of Civil Procedure section 116.220. A sole proprietor is a natural person and may sue for up to $12,500 under section 116.221. Separate, mostly lower limits apply when the defendant is a guarantor. Either may file no more than two small claims actions over $2,500 in a calendar year.

What is a limited civil case in California?

It is a superior court case in which the amount in controversy does not exceed $35,000, not counting attorney fees, interest, and costs, and the relief sought is a type a limited case can grant. Discovery is ordinarily limited to 35 written requests and one deposition per adverse party, some motions are unavailable, and appeals go to the appellate division of the superior court.

Can you have a lawyer in small claims court in California?

Not at the hearing, with narrow exceptions. Code of Civil Procedure section 116.530 bars attorneys from taking part in the conduct or defense of a small claims action, though a lawyer may advise you before or after filing. If the defendant appeals, the case is heard again in the superior court, and attorneys may participate in that new hearing.

Talk to a California business litigation attorney

If you are deciding where to file, or were served in a case that seems to be in the wrong court, call (909) 235-6116 or contact us online. Kolmogorov Law, P.C. is located at 327 Magnet, Irvine, CA 92618, and represents businesses in Orange County, Los Angeles, and throughout California.

This page provides general information about California law and is not legal advice. Outcomes depend on the amount, the relief sought, and the court.