Micheál Martin (Cork South Central, Fianna Fail)

We are talking about the small claims court. The limit for small claims is €2,000 and not €1,269.74, as referred to in the amendment. The regulations increasing the limit to this level, the District Court (Small Claims) (Amendment) Rules 2006, came into effect early in 2006 under the aegis of the Department of Justice, Equality and Law Reform. The Senator's amendment, which proposes to raise the small claims limit to €10,000, would increase the small claims jurisdictional limit beyond the civil jurisdictional limit of the District Court, which is currently €6,250.

I consider it important that the consumer-friendly ethos underlying the small claims court procedures be maintained. Increasing the limit disproportionately, as proposed in the Senator's amendment, will clearly increase the likelihood that retailers will engage lawyers to defend small claims initiated against them. This would be a retrograde step and contrary to the entire basis of the court of this nature. I share the view of the Consumer Strategy Group that the ready access afforded to the ordinary consumer by the small claims court procedure in seeking redress in small civil cases must be protected. Notwithstanding the foregoing, I agree the jurisdictional limit of the small claims procedure should reflect the instances of ordinary consumer transactions when purchasing goods or services. In this regard, I supported the decision to increase the jurisdictional limit to €2,000 last year. I understand the Courts Service intends to review the limit on a periodic basis and I expect the National Consumer Agency, once it is up and running, will be included in any consultation by the Courts Service on future reviews of the limit.

I may forward the content of this debate to the Courts Service and the Department of Justice, Equality and Law Reform. A limit between €2,000 and €6,000 may be appropriate but a limit of €10,000 would be obviously too high. One does not want the small claims court to become too adversarial and involve lawyers as this would defeat the purpose of the exercise. The limit of €2,000 is low.