Hawaii Small Claims Court Limit: $5,000 Cap and the Security Deposit Exception
The number everyone looks up first — and the one that trips people up most often — is the jurisdictional limit. Hawaii's Small Claims Division of the District Court caps general money claims at $5,000 in principal under HRS § 633-27. But that single number doesn't tell the whole story, because one major category of disputes has no cap at all.
The $5,000 General Cap
For most claims — unpaid invoices, contractor deposits, refund disputes, property damage — the maximum you can recover in small claims court is $5,000. That figure excludes interest and court costs, so the actual judgment can land above $5,000 when post-judgment interest at 10% per year (HRS § 478-3) and the $35 filing fee are added.
If your actual loss exceeds $5,000, you have two options. You can waive the excess and bring the claim under the small claims cap, which keeps you in the faster, cheaper forum. Or you can file in the Regular Claims Division of the District Court (up to $40,000) or Circuit Court, where you'll likely need an attorney and face a longer timeline.
The waiver is permanent. If you tell the court your $7,200 contractor claim is $5,000 for small claims purposes, the remaining $2,200 is gone. You can't file a second lawsuit for it — that's claim preclusion under res judicata.
The Security Deposit Exception
Residential security deposit disputes are the outlier. Under HRS § 633-27, these claims can be brought in the Small Claims Division regardless of the amount. A tenant claiming a $15,000 deposit refund can file here, where a business owner with a $6,000 unpaid invoice cannot.
This exception exists because HRS § 633-28(b) also prohibits attorneys from representing either party in security deposit cases. The legislature wanted these disputes resolved directly between landlords and tenants, without lawyers, in an accessible forum — so removing the monetary cap kept high-deposit claims from being pushed into courts where legal representation becomes practically necessary.
What About Counterclaims?
A defendant's counterclaim can go up to $40,000 in the Small Claims Division. If the counterclaim exceeds $5,000 and either party demands a jury trial, the entire case transfers to Circuit Court. That transfer comes with a $200 fee and moves the dispute into formal civil litigation.
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The HB2223 Myth
You may find references online suggesting Hawaii raised its small claims limit to $10,000. That's based on House Bill 2223 from the 2022 legislative session, which proposed the increase but failed to pass. The limit remains $5,000 for general claims.
Three Claim Types at a Glance
| Claim Type | Cap | Authority |
|---|---|---|
| Money claims (contracts, invoices, refunds) | $5,000 | HRS § 633-27 |
| Security deposit disputes | No limit | HRS § 633-27 |
| Personal property return (with rent/damage) | $5,000 | HRS § 633-27 |
Choosing Your Forum
If your claim falls under the cap, small claims is almost always the better choice — faster scheduling (hearings set within 5 to 30 days of filing), lower costs ($35 filing fee), and no need for an attorney. If it exceeds the cap and you're not willing to waive the excess, the Regular Claims Division is next in line.
The Hawaii Small Claims Filing Guide covers the jurisdictional decision in its opening chapter, including how to calculate whether waiving excess damages makes financial sense compared to the cost and timeline of Regular Claims litigation.
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