Texas Small Claims Cases

Collection Cases

 

A “collections case” is an action for recovery of money owed.  It’s basically a breach of contract case in which one party owes another money as part of a contractual obligation.  A breach of contract case can be filed in Texas small claims courts.  Texas law allows for people to form a contract either verbally or in writing.  There are some instances where a verbal contract is not binding, however.

To successfully sue on a collections claim, you must first show that there is a valid and enforceable contract, or basis for the collection. Once you show that a contract exists, you must then prove that YOU performed your end of the bargain.  Next, you must show  that the other party breached the contract or failed to pay.  In the end, you have to prove, with evidence, that you were damaged  you didn’t receive the money that was owed to you.  Be careful not to exceed the court’s jurisdictional limit of $20,000.00 – if you do, the judge will toss the case.