A Virginia reform bill that raises the jurisdictional limit of the state's small claims courts has passed the state's General Assembly and is on its way to the governor, who is expected to sign it.

House Bill 1201, sponsored by Delegate Brian Moran, will raise the small claims dollar limit from $2,000 to $5,000. Virginia's limit was the second lowest in the country, effectively shutting many people out of the legal system because their claims are too large for small claims court but not large enough to make it cost-effective to hire an attorney. The new limit of $5,000 will be just below the current national average of $5,259.

HALT Senior Counsel Tom Gordon led the advocacy effort for the reform bill, testifying in front of both the House Committee on Courts of Justice, and its Subcommittee on Civil Law. The bill passed both the House and the Senate by unanimous votes.

HALT's Small Claims Reform Project has led efforts in dozens of states to improve access to small claims courts - the only courts designed to serve people directly, without the need for a lawyer. HALT's successes in this area include expanded small claims advisor services, more easily understandable forms, better collection processes, improved access to nonlawyer representation, and higher dollar limits. When HALT instituted its Small Claims Reform Project in 1999, half of the states had a small claims jurisdiction of $3,000 or less, making them "dry cleaning courts", available only for the most minor disputes. Since then, HALT's work has cut the number of "dry cleaning courts" in half, while the organization has successfully advocated reform legislation that now allows residents of five states and one city to bring claims of up to $10,000 or more in small claims court.

Governor Tim Kaine is expected to sign the bill sometime after the General Assembly adjourns in March. The change in dollar limit will take effect on July 1, 2006.