Sponsor Statement for HB 119

Increase Small Claims Limit to $7,500

House Bill 119 would change the small claims limit in (AS 22.15.040(a)) from $5,000 to $7,500. This increase more accurately represents the real dollar costs involved in small claims litigation.

Small claims cases allow creditors without legal representation in relatively small claims cases; it increases the maximum amount of a claim from $5,000 to $7,500.

The effective date of the amendment is July 1, 1997.