Small claims in the Magistrates’ Court of Victoria: arbitration under $10,000

In the Magistrates’ Court of Victoria, a small claim is a civil claim for less than $10,000, and if the defendant defends it the court refers it to arbitration: an informal hearing run by a magistrate or registrar. You start by filing a complaint (Form 5A) in person or by post and paying a filing fee of $176.20 or $367.90 for an individual on the standard fee. You then serve it personally, and the defendant has 21 days to file a notice of defence.

Which claims go to arbitration

Section 102 of the Magistrates’ Court Act 1989, headed “Arbitration for small claims”, says the court “must refer a complaint under which the amount of monetary relief sought is less than $10 000 to arbitration”. The court’s resolving a dispute page says defended claims “less than $10,000 are referred straight to arbitration”.

A claim of exactly $10,000 is not covered. The court can also keep a claim out of arbitration, for example where it is not disputed, involves complex questions of law or fact, raises fraud, or the parties agree.

VCAT or the Magistrates’ Court?

VCAT says “Disputes about products and services you bought or sold are heard in VCAT’s Civil Claims List.” The test is in section 182 of the Australian Consumer Law and Fair Trading Act 2012: a dispute “between a purchaser or possible purchaser of goods or services and a supplier or possible supplier” about that supply. VCAT’s before you apply page includes “Haven’t been paid for a service” and “Unpaid money”.

The Magistrates’ Court hears “civil disputes up to the value of $100,000 arising from debts, claims for damages, other monetary disputes or equitable relief”, including car accidents, which VCAT does not hear. A dispute VCAT would otherwise hear between residents of different states goes to the court’s federal jurisdiction on a Form 10A, with fees “equivalent to those at VCAT”.

For goods and services disputes, the law leans towards VCAT. Once you apply to VCAT, a court cannot hear the same issues except in limited cases (section 187), and a court must stay a case VCAT could hear if VCAT is the more appropriate place (section 188). Our VCAT application guide covers that path.

Before you file

The court says “You should try to resolve your dispute before coming to court”, and points to the Dispute Settlement Centre of Victoria. A letter of demand setting a deadline is a sensible first step.

With your complaint you file two certificates: an overarching obligations certification (Form 4A), agreeing to act honestly and make a genuine attempt to resolve the dispute, and a proper basis certification (Form 4B).

The complaint form (Form 5A) and what it asks

The complaint, Form 5A, asks for:

• the court venue and the names and addresses of the plaintiff (you) and the defendant
• your address for service, which must be in Victoria if you sue in person, and your email address for service
• the amount claimed and your costs, which the defendant can pay within 21 days to end the case if you accept
• a statement of claim

The statement of claim sets out, in numbered paragraphs, “all the material facts relied on for the claim”. It states the amount or remedy sought and the place and date the claim arose, and identifies any statutory provision relied on. For car accident repair costs or a write-off, attach an itemised quote or assessment.

Lodging the complaint and the filing fee

File the original and two copies with the Magistrates’ Court closest to where the matter arose or to the defendant’s address. The court’s starting a civil matter guide says “The forms can be filed in person or by post.” The court’s online CMS Portal is not an option if you act for yourself: the court says “self-represented users do not have access to the CMS Portal”.

If the court accepts the complaint, it issues a coversheet with the case number and filing date. Write both on your copies: the complaint is valid only if it shows them.

Filing fees from 1 July 2026, from the court’s fees ready reckoner:

• $1,000 or less: $176.20 standard, $88.10 concession, $352.30 corporate.
• Over $1,000 up to $10,000: $367.90 standard, $184.80 concession, $735.70 corporate.

Individuals, sole traders and businesses with turnover under $200,000 pay the standard fee. The concession fee is for Health Care Card holders only. You can apply for a fee waiver for financial hardship. The court says the filing fee “can be claimed as costs”. Fees change each 1 July; check the civil fees page.

Serving the complaint, and the time limit

You must serve the defendant personally with a copy of the complaint and two blank notices of defence (Form 8A). Under the court’s rules, personal service includes handing it to the person, leaving it at their home with someone apparently over 16 who lives there, or at their business with someone apparently over 16 in charge or working in the office, or sending it by registered post to their last known home or business address.

Anyone can serve. The court warns that emailing a complaint “does not constitute proper service”. For a company, the court says to get advice or check the Corporations Act 2001. Whoever serves it completes an affidavit of service (Form 6A), sworn before an authorised person. See service of court documents.

The time limit: a complaint is valid for service for one year after the day it is filed, and the court can extend it if you apply. The court can dismiss a complaint if no defence or default judgment is filed within 12 months.

The 21-day defence period and default judgment

Once served, the defendant has 21 days to file a notice of defence and serve a copy on you.

If 21 days pass with no defence, you can apply for a default judgment on Form 21A, with your affidavit of service and Forms 4A and 4B. For a debt where the amount is known, no supporting affidavit is needed. A registrar or judicial officer decides without a hearing. A filing fee applies. Once a defence is filed, default judgment is not available.

The arbitration hearing

If the claim is defended, the court writes with the hearing date and type. Under sections 103 to 105 of the Act, an arbitration:

• is run by a magistrate or, if the rules allow, a registrar
• is not bound by the rules of evidence and need not be formal, but must follow natural justice
• takes evidence orally or in writing, on oath if the court requires
• ends in a written award that has effect as a court order

If the award gives no reasons, you can ask for written reasons within 28 days. If you are awarded less than $500, the court must not award costs unless special circumstances apply.

The court’s guide for a party in a civil matter says to arrive at least 30 minutes early, bring your documents and tell the registry you have arrived. In civil matters you organise and pay for any interpreter.

Final orders can be appealed to the Supreme Court on a question of law. A party who was not in court, or did not file a defence, can apply for a rehearing.

Enforcing the order

The court “does not automatically enforce civil judgments”. If the debtor does not pay, you apply for one of five options on its enforcement of civil debt page:

1. Summons for oral examination (Form 67A): the debtor answers questions about their finances.
2. Warrant to seize property (Form 68A): the Sheriff can seize and sell goods, but not things needed to live in basic comfort. The Sheriff charges its own fee.
3. Attachment of debt: money someone else owes the debtor is paid to you.
4. Attachment of earnings order: payments come from the debtor’s wages. Not available if their only income is Centrelink.
5. Instalment order: the debt is paid weekly, fortnightly or monthly.

Each step has a court fee, and the court says enforcement fees “may be added to a debt”.

Where Claim Done fits

A letter of demand costs $49 and is a sensible first step before you pay a court fee.

The Tribunal Application costs $97. In Victoria it drafts the claim for VCAT, so for a Victorian goods and services dispute it drafts the VCAT application. It drafts a Magistrates’ Court claim only where the parties are individuals living in different states, because VCAT cannot hear those. You review the draft and lodge it yourself.

Claim Done is not a law firm. It does not lodge or serve documents, and it cannot promise a result. For the other states, see how to take someone to small claims court in Australia.

Frequently asked questions

Is there a small claims court in Victoria?

Small claims are handled in two places. In the Magistrates’ Court, a defended claim for less than $10,000 goes to arbitration under section 102 of the Magistrates’ Court Act 1989. At VCAT, a goods and services claim of up to $15,000 is a small claim under section 183 of the Australian Consumer Law and Fair Trading Act 2012.

How much does it cost to file a small claim in the Magistrates’ Court of Victoria?

From 1 July 2026, the standard filing fee is $176.20 for a claim of $1,000 or less and $367.90 for over $1,000 up to $10,000. Health Care Card holders pay $88.10 or $184.80.

How long does the defendant have to respond?

21 days after being served with the complaint. If they do not file a notice of defence in that time, you can apply for a default judgment on Form 21A.

Can I file a Magistrates’ Court claim online in Victoria?

Not through the court’s online portal if you act for yourself. The court says forms can be filed in person or by post, and that self-represented users do not have access to the CMS Portal.

Should I go to VCAT or the Magistrates’ Court?

If the dispute is between a buyer and a seller about goods or services, VCAT’s Civil Claims List can hear it. Other debts and damages claims, car accident claims, and claims between individuals living in different states go to the Magistrates’ Court.

What happens if they still do not pay after I win?

The court does not enforce automatically. You apply for a summons for oral examination, a warrant to seize property, an attachment of debt, an attachment of earnings order or an instalment order. The court says enforcement fees may be added to the debt.

General information, checked against the Magistrates’ Court of Victoria, VCAT and Victorian legislation in October 2026. Not legal advice.