In apartment and condominium management, disputes over unpaid rent and security deposit refunds are risks that cannot be completely avoided. If the monetary dispute is 600,000 yen or less, a small claims action in the summary court is the most cost- and time-efficient solution. This article explains the procedures and costs of small claims litigation that rental property owners should understand.
What kind of court is a summary court?
A summary court handles civil cases with claim amounts of 1.4 million yen or less, and it is designed to resolve disputes more quickly and at lower cost than general courts. Its practical features include hearings conducted by a single judge, an attached mediation system, and standard complaint forms for first-time users.
Small claims litigation can generally be used for monetary disputes of 600,000 yen or less, and judgment is issued in a single hearing.
What rental disputes are most common?
Unpaid rent
This is the most common problem in property management. If arrears continue for several months, rental income can decline significantly and loan repayments may also be affected. Owners should make a prompt demand through a certified content mail notice or similar means, and if the issue is not resolved, consider small claims litigation.
Security deposit refunds
Disputes over who should bear restoration costs when a tenant moves out are extremely common. The key issue is distinguishing damage caused intentionally or negligently by the tenant from ordinary wear and tear. It is important to base your position on the guidelines of the 国土交通省.
What costs are involved in filing a case in summary court?
| Cost item | Estimated amount |
|---|---|
| Revenue stamp (filing fee) | 1,000 yen per 100,000 yen of claim amount (example: 150,000 yen → 2,000 yen) |
| Advance postage | 3,000 to 5,000 yen |
| Attorney consultation fee | Typically 5,000 yen for 30 minutes to 1 hour (free consultations may also be available) |
Total out-of-pocket costs for a small claims action are usually only several thousand yen to around 10,000 yen, making it highly cost-effective relative to the amount that may be recovered.
What are three ways to keep costs down?
Use free legal consultation services
By using free consultation desks offered by bar associations, 法テラス, and local municipalities, you can move forward without initial consultation fees. Some law offices also waive consultation fees when you formally retain them, so it is worth confirming this in advance.
Prepare the documents yourself
If you contact the court, staff will carefully explain how to complete the complaint form. Preparing the paperwork yourself can reduce the cost of hiring an attorney or judicial scrivener.
Avoid conversion to ordinary litigation
If the case is converted to ordinary litigation, attorney fees can rise sharply and the risk of spending more than the claim is worth becomes much higher. Because conversion occurs when the defendant files an objection, it is advisable to consider in advance whether the dispute can be resolved through negotiation with the other party.
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Frequently Asked Questions (FAQ)
What is the maximum amount that can be claimed in small claims litigation?
It is limited to monetary claims of 600,000 yen or less. If the amount exceeds 600,000 yen, you should use ordinary civil litigation or a payment order procedure.
What happens if I win a small claims case but the other party still does not pay?
You can file for compulsory execution based on the judgment. It is possible to seize the other party's bank account or wages.
Can I file a small claims case without a lawyer?
Yes. The court provides standard complaint forms, and guidance on how to complete them is also available. However, if the other party retains a lawyer, we recommend considering whether you should retain one as well.
How many times per year can I file a small claims case?
You can use it up to 10 times per year in the same summary court. If disputes occur frequently, it is effective to combine ordinary litigation with formal demand letters sent by certified content mail.
