- You have 20 days after being served to file a Defence — missing this deadline can result in default judgment against you.
- Filing a Defence does not mean you will lose — it forces the case to proceed to a settlement conference where many disputes are resolved.
- If you have a claim against the plaintiff, you can file a Defendant's Claim at the same time as your Defence.
- The settlement conference is your best opportunity to resolve the matter before trial — come prepared.
- Judges consider credibility closely — stick to facts, remain calm, and organize your evidence clearly.
- Even if you owe some money, the plaintiff must prove the amount they claim. You have the right to challenge their evidence and damages.
You Have Been Served — What Happens Next?
Receiving a court document informing you that you are being sued is never a pleasant experience. However, it is important not to panic — and never to ignore it. A Plaintiff's Claim served on you sets a strict deadline in motion, and how you respond in the coming days will significantly affect the outcome of the proceedings.
Ontario Small Claims Court is governed by the Rules of the Small Claims Court, O. Reg. 258/98. The process is designed to be accessible to individuals without legal training, but having a clear understanding of each step will put you in a much stronger position.
If you fail to respond within 20 days of being served, the plaintiff may apply for default judgment. This means the court could award them the full amount claimed — potentially thousands of dollars — without ever hearing your side of the story. Ignoring a lawsuit is never the right approach, even if you believe the claim is without merit.
The first thing to do when you receive a Plaintiff's Claim (Form 7A) is to read it thoroughly. Identify the key information:
- Who is suing you — the plaintiff's name and address
- What they are claiming — the amount of money and the reason for the claim
- The alleged facts — the events and circumstances on which the claim is based
- The relief sought — whether they are claiming only money or also other remedies
Note the Date You Were Served
The 20-day deadline to file a Defence begins when you are served — not when the claim was filed. Make a note of the exact date you received the documents. If you are unsure when the deadline falls, consult a lawyer immediately.
- The names and addresses of the plaintiff and defendant
- A description of the facts giving rise to the claim
- The specific amount being claimed, including principal and any interest
- The court location and file number
Assess the Merits of the Claim
Consider whether the plaintiff's allegations are accurate. Ask yourself:
- Did I enter into this agreement or transaction?
- Did I fulfill my obligations?
- Is the amount claimed accurate?
- Is there a legal defence I can raise?
- Do I have a counterclaim against the plaintiff?
To formally contest the claim, you must file a Defence (Form 9A) with the Small Claims Court office within 20 days of being served. The Defence sets out your position in response to the plaintiff's allegations.
What to Include in Your Defence
- Clearly state which allegations you agree with and which you dispute
- Provide the factual reasons why you do not owe the amount claimed
- Raise any legal defences that apply to your situation (see the Common Legal Defences section below)
- If you have already paid some or all of the amount claimed, state that clearly with details
How to File
Your Defence can be filed:
- In person at the Small Claims Court office that issued the claim
- Online through the Small Claims Court E-Filing Service (where available)
- By mail to the court office
There is a filing fee payable when you file your Defence. You must also provide copies of the Defence to the plaintiff.
Even if you are willing to pay some of the amount claimed but dispute the total, file a Defence. This gives you the opportunity to dispute the amount and negotiate a fair resolution at the settlement conference.
A contractor sues a homeowner for $18,000 claiming unpaid invoices. The homeowner admits owing $10,000 but disputes the remaining $8,000, alleging the work was defective. By filing a Defence disputing the $8,000, the homeowner ensures the dispute is properly heard — rather than having a default judgment of $18,000 entered against them.
If you have your own claim against the plaintiff arising from the same or related circumstances, you may file a Defendant's Claim (Form 10A). This is the Small Claims Court equivalent of a counterclaim, and it can be filed at the same time as your Defence.
Why File a Defendant's Claim?
- It allows both claims to be heard together at the same trial, saving time and cost
- It puts you in an offensive position rather than purely defensive
- If successful, it can reduce or eliminate the net amount you owe
- It may incentivize the plaintiff to negotiate a reasonable settlement
Monetary Limit
A Defendant's Claim is subject to the same $50,000 limit as a Plaintiff's Claim. If your counterclaim exceeds this amount, you may need to consider whether to reduce it or commence a separate action in Superior Court.
A client sues their renovation contractor for $9,000, claiming defective work. The contractor files a Defence denying the work was defective, and also files a Defendant's Claim for $7,500 in unpaid invoices. Both matters are heard at the same trial.
Strong, well-organized evidence is the foundation of an effective defence. Begin gathering documents as soon as you receive the claim — the sooner you start, the better.
Evidence Checklist for Defendants
| Evidence Type | What It Can Prove | Priority |
|---|---|---|
| Contracts & Agreements | What was agreed, terms, obligations | Essential |
| Payment Records | Amounts already paid, dates of payment | Essential |
| Emails & Text Messages | Communications, admissions, modifications to the agreement | Essential |
| Photographs / Videos | Condition of goods, quality of work, property state | Situational |
| Receipts & Invoices | Payments made, services received | Situational |
| Witness Information | Corroboration of events, conversations, performance | Situational |
| Expert Opinions | Valuation, quality of work, industry standards | Complex cases |
Organize your documents chronologically and label them clearly. Courts respond positively to defendants who present their case in an organized, professional manner — it builds credibility even before a word is spoken.
The Rules of the Small Claims Court require both parties to exchange copies of all documents they intend to rely on at trial. Failure to disclose documents to the other side in advance may result in those documents being excluded when you need them most.
After a Defence is filed, the court will schedule a settlement conference — a mandatory meeting before a judge where both parties have the opportunity to discuss resolving the matter without a full trial.
What Happens at the Settlement Conference?
- Both parties explain their positions to the judge
- The judge helps identify the key issues in dispute
- The judge may comment on the strength of each party's case and encourage settlement
- Procedural matters (document exchange, witnesses) are addressed
Why You Should Take the Settlement Conference Seriously
Many Small Claims Court cases are resolved at or before the settlement conference. This is your opportunity to avoid the time, cost, and uncertainty of a trial.
Arrive at the settlement conference with all your documents organized and a clear sense of what outcome you are prepared to accept. Judges remember which parties are prepared and cooperative — and which are not. Being unprepared or unreasonable at a settlement conference can damage your credibility at trial.
Failure to attend a settlement conference without a valid reason and proper notice to the court can result in serious consequences — including the matter being decided in your absence or costs being awarded against you.
If the matter does not settle at the settlement conference, it will proceed to trial. Proper preparation is essential.
Trial Preparation Checklist
- Finalize and organize all documents in chronological order
- Make copies for the judge and the plaintiff (typically three copies of each document)
- Contact your witnesses and confirm their availability for the trial date
- Review the plaintiff's documents you received during the settlement conference
- Prepare a brief written summary of your key arguments and the facts you intend to prove
- Review your Defendant's Claim if applicable — be prepared to address it at trial
Witness Considerations
If a witness will not attend voluntarily, you may need to serve a Summons to Witness (Form 18A) to compel their attendance. A witness who is summoned is entitled to a nominal attendance fee and travel reimbursement.
If your defence involves technical or professional matters — such as the quality of construction work, a valuation dispute, or medical evidence — an expert witness may strengthen your position significantly. Expert reports must generally be prepared in advance and provided to the other side before trial.
Trials in Ontario Small Claims Court are less formal than Superior Court proceedings, but they follow a structured process. Both parties have the opportunity to present evidence and make submissions.
| # | Stage | What Happens |
|---|---|---|
| 1 | Opening Statements | Each party briefly outlines their position and what they intend to prove |
| 2 | Plaintiff's Evidence | The plaintiff presents documents, testimony, and exhibits |
| 3 | Cross-Examination by Defendant | You question the plaintiff and their witnesses |
| 4 | Defendant's Evidence | You present your documents, testimony, and witnesses |
| 5 | Cross-Examination by Plaintiff | The plaintiff questions you and your witnesses |
| 6 | Closing Arguments | Each side summarizes why they should succeed |
| 7 | Decision | The judge decides immediately or reserves judgment |
During cross-examination of the plaintiff, focus on inconsistencies in their evidence and gaps in their documentation. Ask short, focused questions rather than making long speeches. Judges generally prefer defendants who stick to the evidence and avoid emotional arguments.
Common Legal Defences in Ontario Small Claims Court
Depending on the nature of the claim against you, a range of legal defences may be available. Understanding these defences — and raising them clearly in your written Defence — can significantly improve your outcome.
If you have already paid the amount claimed, in full or in part, this is a complete or partial defence. Provide bank records, receipts, or e-transfer confirmations to prove payment was made.
Ontario's Limitations Act, 2002 generally requires lawsuits to be commenced within two years of the claim being discovered. If the plaintiff waited too long to sue, you may raise the expiry of the limitation period as a full defence.
If the plaintiff claims you breached a contract, your defence may be that you fully performed your obligations, or that any shortfall was caused by the plaintiff themselves.
In some cases, the plaintiff's own conduct contributed to the loss or damage they suffered. If so, their damages may be reduced proportionally.
If the parties previously agreed to settle the dispute, signed a release, or otherwise resolved the matter, this may be a complete defence to a new claim arising from the same events.
If the contract or transaction was entered into based on a fundamental mistake or misrepresentation by the plaintiff, it may be unenforceable in whole or in part.
A plaintiff has a legal duty to take reasonable steps to minimize their losses. If they failed to do so, their damages may be reduced to the amount they could reasonably have avoided.
If the plaintiff cannot establish that you were a party to the contract or transaction at issue — for example, they are suing the wrong person — this is a complete defence.
What Is Default Judgment and How Do You Set It Aside?
If you missed the 20-day deadline to file a Defence and default judgment has already been entered against you, all is not lost. You may apply to the court to set aside the default judgment and be permitted to file a Defence — but you must act quickly.
Grounds to Set Aside Default Judgment
- You were not properly served with the Plaintiff's Claim
- You had a reasonable excuse for failing to respond in time
- You have a meritorious defence that should be heard
Once a default judgment is entered, the plaintiff can begin enforcement proceedings immediately — including wage garnishment and bank account garnishment. If you discover a default judgment has been entered against you, contact a lawyer as soon as possible.
Costs If You Lose — What to Expect
If you are unsuccessful at trial, the court may order you to pay the plaintiff's costs in addition to the amount of the judgment. In Ontario Small Claims Court, recoverable costs are limited and do not include full legal fees, but they can include:
- The plaintiff's court filing fees
- Service costs
- Witness fees
- A limited amount toward legal representation (up to 15% of the amount claimed, under Rule 19.04)
If you made an unreasonable offer that the plaintiff rejected and then obtained a better result at trial, costs may be adjusted. Conversely, if the plaintiff refused a reasonable settlement offer from you and ultimately obtained no more at trial, the court may award costs against the plaintiff.
Common Mistakes Made by Defendants
The most common and damaging mistake. Missing the 20-day deadline gives the plaintiff the right to obtain default judgment without you ever having a chance to defend yourself.
Judges decide cases based on evidence, not emotion. A Defence filled with complaints about the plaintiff's character or accusations unrelated to the legal issues will not help your case and may harm your credibility.
Deleting emails, texts, or other communications — even ones that seem unfavourable — can be problematic. Courts expect parties to preserve relevant documents, and failing to do so can be used against you.
Trials are expensive, time-consuming, and unpredictable. Even a partial settlement — where you pay less than the full amount claimed — may be a better outcome than risking a full judgment at trial plus costs.
Ambushing the other side at trial with documents not disclosed during the settlement conference is generally not permitted. Documents must be exchanged in advance, and failure to do so may result in exclusion at trial.
If you have a valid counterclaim against the plaintiff, failing to file a Defendant's Claim means losing the opportunity to recover money you are owed. Once the trial is over, it may be too late.
Do You Need a Lawyer to Defend a Small Claims Court Claim?
Ontario law allows individuals to represent themselves in Small Claims Court. However, the right legal advice — even a single consultation — can make a substantial difference in your outcome.
| Situation | Self-Representation | Legal Help |
|---|---|---|
| Simple dispute, clear documentation | Often feasible | Optional |
| Disputed facts, credibility at issue | Possible | Recommended |
| Amount claimed is significant ($10,000+) | Possible | Recommended |
| Counterclaim or Defendant's Claim | Complex | Strongly recommended |
| Multiple parties or corporate issues | Very difficult | Strongly recommended |
| Fraud or misrepresentation alleged | Very difficult | Essential |
Our Toronto lawyers offer a free 30-minute consultation for individuals who have been served with a Small Claims Court claim. Call 416-274-2222 or contact us online to discuss your situation.
Frequently Asked Questions
You have 20 days from the date you were served with the Plaintiff's Claim to file your Defence with the court. Missing this deadline can result in default judgment being entered against you.
File a Defence in which you admit the portions you agree with and dispute the rest. You can also offer to pay the undisputed portion immediately to demonstrate good faith and potentially reduce any costs awarded against you.
Yes. You and the plaintiff can reach an agreement at any time. If you settle before trial, make sure to obtain a written settlement agreement and ensure the court proceeding is discontinued once the agreed terms are fulfilled.
A Defence responds to the plaintiff's allegations — it is purely defensive. A Defendant's Claim is your own separate claim against the plaintiff arising from the same or related circumstances. You can file both at the same time.
Yes, in appropriate circumstances. You must bring a motion to set aside the default judgment, demonstrating that you were not properly served, had a reasonable excuse for the delay, and have a meritorious defence. Act immediately if a default judgment has been entered against you.
Yes. Attendance at the settlement conference is mandatory. Failing to attend without adequate notice and reason can result in the matter being decided in your absence or adverse cost consequences.
You have every right to challenge the amount claimed. In your Defence and at trial, you can dispute specific items of damage, question the plaintiff's evidence, and call your own evidence to demonstrate the proper amount owing, if any.
An appeal may be available to the Divisional Court, depending on the circumstances and the amount involved. Strict time limits apply. Consult a lawyer immediately if you are considering an appeal after an unfavourable decision.