What purpose does the small claims procedure serve?

The small claims procedure is all about providing a simple, accessible, and inexpensive way for individuals to resolve minor legal disputes without needing to go through the complexities and costs of a full-blown court case. Think of it as a user-friendly system designed for everyday disagreements. It's particularly useful when the amount of money involved is relatively small, typically a few thousand pounds or less. The key is its informality. Unlike traditional court proceedings, the small claims track emphasizes mediation and encourages parties to represent themselves, minimizing legal jargon and formal procedures. This makes it easier for ordinary people to navigate the legal system and resolve issues like disputes over faulty goods, unpaid debts, or minor property damage. So, while insurance claims might sometimes involve small amounts, the small claims procedure itself is broader, acting as a general tool for settling a wide range of minor disputes between individuals or businesses.