Developing a Statement of Claim: An Example and Process Guide
What is a Statement of Claim?
A statement of claim is a document that initiates civil court proceedings. A plaintiff (the person bringing the lawsuit) files a statement of claim with the court. This gives the defendant (the person being sued) a chance to respond, usually by filing a statement of defence.
The document that’s filed when a plaintiff initiates a lawsuit against a defendant is different from the document a defendant files when they issue a counter-claim. A plaintiff issues a statement of claim, and a defendant issues a statement of defence.
The statement of claim includes a statement of facts relating to the case. When statements of fact in a statement of claim are read together , they constitute a clear statement of the dispute between the parties. The statement of claim also includes the relief that the plaintiff seeks, and the remedy that the plaintiff is looking for. The document also outlines the court in addition to the location of the court where the plaintiff will initiate the lawsuit.
The court clerk then processes the statement of claim and assigns a number to the document. This number is usually posted on the front page of the document, stamped in red ink.
A statement of claim is also filed to determine what the issues are in the case, prior to trial. A statement of defence assists the defendant in making the case as clear as possible. A statement of claim also acts as a notification to the defendant informing them that the plaintiff intends to pursue legal action.
The Main Parts of a Statement of Claim
There are vital elements that must be included in a statement of claim to clearly spell out the case a plaintiff is making against a defendant. A statement of claim generally must include the following:
(i) parties involved;
(ii) facts of the case;
(iii) legal basis; and
(iv) relief sought.
Parties Involved
The plaintiff is responsible for identifying the persons or businesses that must be made a party to the lawsuit and issuing them a statement of claim. The plaintiff is also responsible for providing an accurate address for these, so that the plaintiff can meet the requirement of serving the claim on all defendants who are properly joined to the case. If a party is not properly served – or not served at all – then the court will not have the ability to hear the case against that person or business.
Facts of the Case
The statement of claim should set out clearly the events and actions that have led to the plaintiff’s complaint and claim for relief. The statement of claim must specify the fact that led to the lawsuit, as well as any known contracts, agreements, or other documents that support the plaintiff’s case. Parties who are sued must be able to determine what the claims are, and what facts and documents are being set out on their own behalf, so they can mount an appropriate defence against the claim.
Legal Basis
The statement of claim should also specify the basis in law for the plaintiff’s claim. This may be a breach of contract, illegal termination, violation of norm by an employer, or any reason that has caused harm to the plaintiff. The law does not require a plaintiff to be concise or give a detailed history of their case, but the plaintiff does have a responsibility to provide enough information that a defendant can determine what they are being sued for, and mount an appropriate defence.
Relief Sought
The statement of claim does not have to include the exact amount of restitution that the plaintiff is seeking. However, it should clearly articulate that the plaintiff has suffered loss or wrong, that this can be reasonably compensated for with damages, that the damages amount won’t fully make the plaintiff whole again or restore the plaintiff to the position they were in before the event, and that there is no equitable remedy available.
How To Prepare a Statement of Claim
When writing a statement of claim, the same process is followed: identify the defendant and confirm jurisdiction; ascertain company name and business address; determine the relevant parties i.e. primary and secondary parties with related interests; identify the claim; ascertain if there are particulars of claim such as invoices, agreements, guarantees and registers; identify the amounts involved (i.e. those amounts admitted) and possible amounts claimed i.e. invoices, claims under guarantees or money due under court orders/judgements; specify any defence or cross claim (if any); and determine those parties entitled to costs.
Common Errors to Watch For
There are several common mistakes to avoid when drafting a statement of claim. The most common of these include:
- embellishing the level of detail in an attempt to elicit sympathy or concern from the reader;
- failing to provide sufficient detail to allow the reader to respond to your claims; and
- using legal jargon to describe something that could have been described in plain English.
With regards to mistake number one, it is critical that you resist the temptation to embellish. You may feel that this is the only way to convey the situation in a manner to make the reader sympathetic to your plight. However, remember that the person(s) reviewing your statement of claim is likely a neutral party. You do not want to do anything to skew their opinion of you.
Mistake number two is usually the result of negligence. A fair and impartial reader cannot offer an opinion on your matter if you do not provide enough detail for them to assess. It is also possible that a reader simply sees that you did not bother to clearly articulate your position, and uses that fact against you. For example, it is possible that their assumption might be that you are not very strong in your position.
Finally, while legal jargon has its place, it is often used in an attempt to sound more legitimate or professional. As a rule, you should avoid using legal jargon when at all possible. Most statements of claim are predominantly factual, and not legal in nature. At the very least, you should explain the relevant legal concepts in plain English so as to give the reader context.
When To Look At A Statement of Claim Example
To illustrate the drafting process, we have provided an example under the Supreme Court Rules of a Plaintiff Statement of Claim. It reads as follows:
Court File No.
BETWEEN:
BRENDA SMITH
PLAINTIFF
AND:
BEN SCOTT and JANE DOE
DEFENDANTS
STATEMENT OF CLAIM
1. Pursuant to a written agreement made on June 4, 2015 (a copy of which is attached as Exhibit A), between Brenda Smith (the "Claimant"), and Ben Scott and Jane Doe (the "Defendants"),
(a) the Defendants are obliged to pay the Claimant the sum of $100,000.00 on or before June 4, 2016;
(b) the Claimant is entitled to receive such payment as her interest in the estate of Thomas Smith, deceased.
2. The Defendants have failed to pay the Claimant the $100,000.00, after due demand made by the Claimant.
3. The Claimant claims as follows:
(a) the payment by the Defendants to the Claimant of the sum of $100,000.00;
(b) interest on the aforementioned sum at the rate of prime from June 4, 2016 to the date of payment; and
(c) costs.
A statement of claim must include a clear and concise statement of the material facts on which the party relies. It has been found that this is the case.
The style of cause, as it is commonly known, is first on the docket. It is complete and provides the claim number, and parties and the address for service for the plaintiff. The claim is included immediately following the style of cause . It provides the material facts that support the claim, and a clear, concise statement of the relief claimed is enunciated afterwards.
It is evident from paragraph 1 and 2 of this example that the defendants have breached the terms of a written agreement with the claimant. The statement of claim is effective because it clearly sets out the details of the contract, which are not complicated in nature. It follows logically from the facts to the law to the relief sought. Paragraphs 3a-c succinctly identify the relief being sought and particulars relating to any claim for general damages, which are arguably appropriate in this case. The parties have been correctly named and sued in their correct capacity. The claim is within the applicable limitation period. Counsel for the defendants might note that the defence may be able to plead some form of estoppel if the defendants relied, to their detriment on the failure to finalize the contract.
Also of note in this statement of claim is the use of the words "the Claimant," in paragraph 1, rather than "the Plaintiff." This was done as many jurisdictions no longer require the word "Plaintiff," preferring instead to use the word "Claimant." We suggest you follow the language used in your jurisdiction in this regard.
Regardless of the jurisdiction, given this is an Alberta statement of claim, the claim has the appropriate Court style, venue, registry location and title to the court action. It has been noted that the statement of claim has been properly served.
Filing and Serving A Statement of Claim
Serving a Statement of Claim is the first step in commencing a proceeding when a person’s legal remedy is to bring a claim against another person in court. Once a Statement of Claim is prepared and signed by the Plaintiff, it is filed at a Registry of the Court where amounts claimed are above $100,000.00 (exceeding $25,000.00 in Regional Courts). The filing fee for growing amounts of pleadings can be explained by your lawyer. The Court Clerk will date stamp your Statement of Claim on the day it is filed. Subsequently, the Claim must be served on the Defendant within 12 months from the date it was filed (unless an extension has been granted). A Statement of Claim may be served on a Defendant by: Once the Defendant has been served with the Statement of Claim, they have 28 days or, in New South Wales, Queensland and Tasmania 14 days after the service of the Statement of Claim to respond. A Default Judgment can be automatically entered if the Defendant fails to respond in time.
Legal Help and Resources
We strongly recommend that you seek legal advice when drafting a statement of claim. A lawyer will be able to advise you on the appropriate content and structure of the claim, and ensure that you have met any relevant court rules or requirements. Seeking legal advice can also help to ensure that you are not wasting your time and money by bringing a claim that is unlikely to succeed at hearing. A lawyer can provide you with professional assistance in gathering the relevant documents and evidence needed to support your claim. There is also a range of resources and tools available to assist you if you need help with your statement of claim. These include: The Local Court Self-Representation Service, which may provide you with the necessary sounds, information or support you need to take next steps in your case The Public Solicitor, which provides initial legal advice on a range of legal issues, mediation between parties, and representation for those who cannot represent themselves . Law Access, which provides initial legal advice and can also refer you for particular services such as mediation Law for Non-Lawyers website, hosted by the Legal Profession Admission Board, can provide you with general legal information and advice The Law Society of N.S.W. provides an extensive range of resources to help you find the right lawyer for your needs The Courts and Tribunal Service, which provides the forms you will need to lodge with the court and information on how to navigate the court system Women’s Legal Service N.S.W., which provides free advice and assistance to women seeking legal advice. Aboriginal Legal Service (N.S.W.), which provides legal advice and support. More complicated claims can often involve years of litigation. With a broad range of experience acting for both plaintiffs and defendants in civil claims before the NSW District and Supreme Courts, Maurice Blackburn can represent your interests and help ensure your rights are upheld.