Washington, DC-On January 1, a reform law that will open up the legal system for the people of New York took effect. Senate Bill 1570, which Governor George E. Pataki signed in September, will increase the jurisdictional limit in many of the state's small claims courts from $3,000 to $5,000.

"This bill will bring New York in line with the rest of the country by allowing many of its small claims courts to handle more than just dry cleaning disputes," says HALT Senior Counsel Thomas M. Gordon. HALT, a national legal consumer group, advocates for small claims jurisdictional increases on a state-by-state basis, with the eventual goal of all states increasing their limits to $20,000.

As the law took effect, it raised the dollar cap on most small claims in New York to the national median jurisdictional limit, which is $5,000. The state previously had the eighth-lowest dollar limit in the nation. With dollar limits that low, many people with simple legal problems found themselves stranded in a legal no-man's land. Many people had been stuck outside of the system because they had disputes worth more than the previous $3,000 limit, but not worth enough to hire an attorney, whose fee would eat up any restitution.

HALT, who supported the legislation's sponsors, urged Gov. Pataki to sign the bill by pointing out the benefits of small claims courts. HALT also submitted findings from a new study that silences concerns that higher dollar limits would produce an onslaught of new cases, straining the system to its breaking point. Drawing on state-by-state caseload data in the study, HALT conclusively proved that a rise in jurisdictional limit very rarely leads to a larger caseload.

While HALT applauds the new law, further reform is still needed to ensure full access to the courts. Senate Bill 1570 will affect jurisdictional limits in almost all of New York's small claims courts, but it excludes Justice Courts, which operate mainly in rural areas. "We hope that next year the legislature will raise the jurisdiction of Justice Courts to $5,000 so that all New Yorkers have equal access to this valuable reform," says Gordon.

Small claims courts, which use simplified procedures and require plain language, have tremendous promise as a means of empowering ordinary people to take charge of their own routine legal needs. Realizing that reaching the $20,000 mark will involve incremental change, HALT views Senate Bill 1570 as an excellent first step in refusing to stifle such potential with prohibitively low dollar limits.

Founded in 1978, HALT-An Organization of Americans for Legal Reform is a non-partisan, non-profit public interest organization. HALT pursues an ambitious education and advocacy program that challenges the legal establishment to improve access and accountability and reduce costs in the civil justice system. Please visit www.halt.org for more information.