Happy Honda Days No More
There's a reason they call it "The People's Court." Small Claims was designed for ordinary people to have a shot at redressing grievances in a no-muss, no-fuss, (virtually) no-cost manner. No lawyers allowed. Just party “A” against party “B,” squaring off in landlord-tenant disputes or dry cleaning mishaps or any manner of imbroglios evidenced in your average “Judge Judy” episode.
One type of case you don’t hear about too often in Small Claims is where party “A” is an everyday citizen and party “B” is a big corporation. That’s understandable. As a former practicing attorney, I can attest that it’s intimidating to sue a big corporation. Even in Small Claims Court, where (at least in California), you fill out your complaint and get a court date online in a manner of minutes. You still have to figure where and how to serve big corporation and who needs the hassle when a threatening letter typically will do the trick.
I guess I simply lack the pluck of Heather Peters. Also a former attorney, Peters just won a small claims case in Los Angeles that’s sending a big message to corporate board rooms across the country. Especially that of American Honda Motor Co., the defendant against whom Peters was awarded a judgment of $9,867.19. Not a princely sum perhaps. (The Small Claims Court limit in California is $10,000). But, it’s enough to possibly change the course of big-time litigation in this country. Peters’ case stemmed from her purchase of a 2006 Honda Civic Hybrid. A car, she argued, whose mileage was woefully less than the 50 miles per gallon touted by its maker. (And for which Peters paid a premium.) The Small Claims Commissioner agreed with Peters that Honda’s claims amounted to negligent misrepresentation, awarding Peters damages that included her car’s diminution in value and the added cost of gasoline required by the less-than-advertised mileage.
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