ILNews

Marion County Small Claims courts take small steps

Back to TopCommentsE-mailPrintBookmark and Share

A report four months ago that proposed sweeping reform of the Marion County Small Claims courts has resulted in little change on key matters that instigated the review, but proposed rules aim to improve township courts and their practices.

The Report on the Marion County Small Claims Courts issued May 1 recommended two scenarios for structural reform of the courts: incorporating township small claims courts into the Marion Superior Court; or reforming them as township courts with full-time judges overseen by a small claims administrator.

small-claims09-15col.jpg Marion Circuit Judge Louis Rosenberg, right, and Indiana Court of Appeals Judge John Baker share a laugh Aug. 23 during an Indianapolis Bar Association panel discussion on proposed rules for the Marion County Small Claims courts. Comments will be accepted on the proposed rules through Sept. 30. (IL Photo/ Perry Reichanadter)

Either of those plans would require legislation in the General Assembly. So far there’s no sign that will happen, said Court of Appeals Judge John Baker, who with COA Senior Judge Betty Barteau drafted the report of the Small Claims Task Force that was sanctioned by the Supreme Court.

“We’re unaware of any effort to implement either of those changes, or something akin to that,” Baker said.

The task force took its charge after a Wall Street Journal report examined allegations of “forum shopping,” in which collections companies and creditors sue in venues deemed friendlier than others. In some cases, large filers came to dominate the township courts and were deemed as receiving special treatment.

Marion Circuit Judge Louis Rosenberg, who oversees the small claims courts, met with township judges numerous times to develop a uniform set of rules, a draft of which was presented at an Indianapolis Bar Association panel discussion on Aug. 23. Rosenberg acknowledged the rules didn’t address “forum shopping,” and Baker said they shouldn’t have.

“I’m not going to anticipate that Judge Rosenberg and the judges of the small claims court are going to be able to address something as sweeping as that,” Baker said in an interview. “If that ball is picked up, I anticipate that would be the Supreme Court’s rules committee.”

At the IndyBar panel discussion, attorney and Sen. Mike Young, R-Indianapolis, said recommendations for systemic reform went too far. He also said lawmakers would be reluctant to fight new local government battles. “They’re tired of dealing with these reforms, especially on the township level.”

Pike Township Small Claims Judge A. Douglas Stephens said the judges have done what they could to address concerns raised in the WSJ article, enacting many of the recommendations that Baker and Barteau said could be implemented regardless of whether the courts changed systemically. “One of the rules extends the time for the defendant to ask for a change of venue,” he said, from 10 to 20 days.

“I think that when a filer spends a lot of money in a specific court, it can lead to problems,” said Wayne Township Small Claims Judge Danny Vaughn. “I think each judge can combat that by dealing with each case individually and being as fair as they can. But inherent in the system there are some problems that need to be dealt with.”

Feeling heat

Rosenberg called the WSJ piece “the match that lit the fire” that resulted in Marion County’s nine township small claims court judges coming together to draft uniform rules.

“The small claims judges and I felt we needed to respond constructively,” Rosenberg said. “I would say from the outset there was acknowledgement there were deficiencies in the system.”

In addition to the extended time for change of venue requests, the most recent draft of the proposed small claims rules would:

• Require the courts to use the same forms;

• Clarify and make uniform the requirements for providing notice;

smallclaims_facts.jpg• Require courts to notify litigants of their rights at the start of each session;

• Make court facilities equally available to all persons having business with the court; and

• Prevent a judge from practicing before another small claims court judge.

“Some of the things that are going into the rules have been implemented, and this is kind of a loose codification of that,” said Perry Township Small Claims Judge Robert Spear.

Spear said he gives litigants instructions before each session, and they also receive a brochure that outlines rights and responsibilities. Decatur Township Small Claims Judge Myron Hockman does the same.

“I go into the courtroom and introduce myself and give them some of the basics of what to expect and what they can do and cannot do,” he said. “Court staff members also wear nameplates now, so they won’t be confused with large-filing litigants.”

Spear said the townships handled about 700,000 cases in the previous decade, yet only about 60 people complained during hearings on the courts that he attended. “The remedy for not liking the result of a case in small claims court is to come up with $129 and written notice of appeal and take it to superior court,” he said.

Hockman believes complaints about “forum shopping” are overblown. “I don’t have anybody in court that files in this court, that I’m aware of, that files just solely in this court,” he said. “I believe the small claims courts function very well.”

Professor Florence Roisman of the Indiana University Robert H. McKinney School of Law, an expert in housing law, sees it differently. She told the IndyBar panel that small claims court practices are “illegal in so many ways I can’t begin to cite them.”

Rosenberg said the work of the small claims judges to implement new rules to improve the system is important, and the judges have been proactive.

“Most people get their lasting impression of the judicial system from the small claims courts,” he said. “We need to do better.”

Small claims in federal court

Chicago attorney Daniel Edelman isn’t waiting for rule changes or court reform. He’s filed three class actions in U.S. District Court for the Southern District of Indiana and one in federal court in Chicago alleging that large filers in township small claims courts violate the Fair Debt Collection Practices Act, 15 U.S.C. Section 1692i.

That section requires that legal actions by debt collectors be filed in the judicial district or legal entity in which a consumer signed a contract the he was sued on, or where the consumer lives.

The three cases filed in federal court in Indianapolis involve a plaintiff who lives in Hendricks County but was sued in Decatur Township; a Warren Township resident sued in Franklin Township; and a Lawrence Township resident sued in Decatur Township. In none of the cases did an event relevant to the claim occur in the township where the action was filed, Edelman said. He said the practice is common.

“It struck me as fairly abusive,” Edelman said. “There seems to be a lot of disregard of consumer rights.”

Representatives of defendants in those lawsuits declined to comment or did not return calls or emails seeking comment.

Jonathan Sturgill, president of the Indiana Creditors Bar Association, said its members follow Indiana Rules of Trial Procedure in filing civil suits. “Generally, these rules allow suits to be filed in the county where the defendant resides, or where the transaction took place,” Sturgill said in a statement.

Sturgill said ICBA members would welcome uniform rules across the township courts on matters such as continuances and default time periods.

“Many courts apply differing procedures which takes some astute management by the practitioner if they are practicing in a multitude of courts,” he said.•

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. OK, take notice. Those wondering just how corrupt the Indiana system is can see the picture in this post. Attorney Donald James did not criticize any judges, he merely, it would seem, caused some clients to file against him and then ignored his own defense. James thus disrespected the system via ignoring all and was also ordered to reimburse the commission $525.88 for the costs of prosecuting the first case against him. Yes, nearly $526 for all the costs, the state having proved it all. Ouch, right? Now consider whistleblower and constitutionalist and citizen journalist Paul Ogden who criticized a judge, defended himself in such a professional fashion as to have half the case against him thrown out by the ISC and was then handed a career ending $10,000 bill as "half the costs" of the state crucifying him. http://www.theindianalawyer.com/ogden-quitting-law-citing-high-disciplinary-fine/PARAMS/article/35323 THE TAKEAWAY MESSAGE for any who have ears to hear ... resist Star Chamber and pay with your career ... welcome to the Indiana system of (cough) justice.

  2. GMA Ranger, I, too, was warned against posting on how the Ind govt was attempting to destroy me professionally, and visit great costs and even destitution upon my family through their processing. No doubt the discussion in Indy today is likely how to ban me from this site (I expect I soon will be), just as they have banned me from emailing them at the BLE and Office of Bar Admission and ADA coordinator -- or, if that fails, whether they can file a complaint against my Kansas or SCOTUS law license for telling just how they operate and offering all of my files over the past decade to any of good will. The elitist insiders running the Hoosier social control mechanisms realize that knowledge and a unified response will be the end of their unjust reign. They fear exposure and accountability. I was banned for life from the Indiana bar for questioning government processing, that is, for being a whistleblower. Hoosier whistleblowers suffer much. I have no doubt, Gma Ranger, of what you report. They fear us, but realize as long as they keep us in fear of them, they can control us. Kinda like the kids' show Ants. Tyrannical governments the world over are being shaken by empowered citizens. Hoosiers dealing with The Capitol are often dealing with tyranny. Time to rise up: https://www.theguardian.com/technology/2017/jan/17/governments-struggling-to-retain-trust-of-citizens-global-survey-finds Back to the Founders! MAGA!

  3. Science is showing us the root of addiction is the lack of connection (with people). Criminalizing people who are lonely is a gross misinterpretation of what data is revealing and the approach we must take to combat mental health. Harsher crimes from drug dealers? where there is a demand there is a market, so make it legal and encourage these citizens to be functioning members of a society with competitive market opportunities. Legalize are "drugs" and quit wasting tax payer dollars on frivolous incarceration. The system is destroying lives and doing it in the name of privatized profits. To demonize loneliness and destroy lives in the land of opportunity is not freedom.

  4. Good luck, but as I have documented in three Hail Mary's to the SCOTUS, two applications (2007 & 2013),a civil rights suit and my own kicked-to-the-curb prayer for mandamus. all supported in detailed affidavits with full legal briefing (never considered), the ISC knows that the BLE operates "above the law" (i.e. unconstitutionally) and does not give a damn. In fact, that is how it was designed to control the lawyers. IU Law Prof. Patrick Baude blew the whistle while he was Ind Bar Examiner President back in 1993, even he was shut down. It is a masonic system that blackballs those whom the elite disdain. Here is the basic thrust:https://en.wikipedia.org/wiki/Blackballing When I asked why I was initially denied, the court's foremost jester wrote back that the ten examiners all voted, and I did not gain the needed votes for approval (whatever that is, probably ten) and thus I was not in .. nothing written, no explanation, just go away or appeal ... and if you appeal and disagree with their system .. proof positive you lack character and fitness. It is both arbitrary and capricious by its very design. The Hoosier legal elites are monarchical minded, and rejected me for life for ostensibly failing to sufficiently respect man's law (due to my stated regard for God's law -- which they questioned me on, after remanding me for a psych eval for holding such Higher Law beliefs) while breaking their own rules, breaking federal statutory law, and violating federal and state constitutions and ancient due process standards .. all well documented as they "processed me" over many years.... yes years ... they have few standards that they will not bulldoze to get to the end desired. And the ISC knows this, and they keep it in play. So sad, And the fed courts refuse to do anything, and so the blackballing show goes on ... it is the Indy way. My final experience here: https://www.scribd.com/document/299040062/Brown-ind-Bar-memo-Pet-cert I will open my files to anyone interested in seeing justice dawn over Indy. My cases are an open book, just ask.

  5. Looks like 2017 will be another notable year for these cases. I have a Grandson involved in a CHINS case that should never have been. He and the whole family are being held hostage by CPS and the 'current mood' of the CPS caseworker. If the parents disagree with a decision, they are penalized. I, along with other were posting on Jasper County Online News, but all were quickly warned to remove posts. I totally understand that some children need these services, but in this case, it was mistakes, covered by coorcement of father to sign papers, lies and cover-ups. The most astonishing thing was within 2 weeks of this child being placed with CPS, a private adoption agency was asking questions regarding child's family in the area. I believe a photo that was taken by CPS manager at the very onset during the CHINS co-ocerment and the intent was to make money. I have even been warned not to post or speak to anyone regarding this case. Parents have completed all requirements, met foster parents, get visitation 2 days a week, and still the next court date is all the way out till May 1, which gives them(CPS) plenty of to time make further demands (which I expect) No trust of these 'seasoned' case managers, as I have already learned too much about their dirty little tricks. If they discover that I have posted here, I expect they will not be happy and penalized parents again. Still a Hostage.

ADVERTISEMENT