Manitoba Small Claims Court Cost Recovery and General Damages Cap

The $500 Cost Recovery Cap

Under section 14(1) of The Court of King's Bench Small Claims Practices Act (C.C.S.M. c. C285), a judge or court officer may award up to $500 for costs, excluding disbursements, except in exceptional circumstances. Reasonable disbursements incurred for the claim may be awarded separately.

The $500 limit does not include every expense you incur. Filing and service expenses may be considered as disbursements, which the court may award separately if reasonably incurred. The judge or court officer decides what to allow.

This is why retaining a lawyer for a small claims case rarely makes economic sense. Winning does not guarantee recovery of all legal fees: the usual costs award is capped at $500, excluding disbursements, unless exceptional circumstances apply.

What the Cap Does and Does Not Cover

The $500 cap applies to costs excluding disbursements — not to your actual claim amount. These are separate:

• Your claimed loss (the unpaid invoice, the deposit, the repair bill) — up to $20,000
• Pre-judgment interest — calculated separately, excluded from the $20,000 limit
• Post-judgment interest — generally runs from the date the court makes its order, subject to statutory exceptions

The $150 security for costs deposit required of out-of-province claimants is separate from a costs award. The court holds it until the hearing and then orders it returned or makes another order about the funds.

The $2,000 General Damages Cap

Manitoba small claims imposes a second, less obvious ceiling: general damages are capped at $2,000 within the overall $20,000 limit.

General damages are losses that cannot be precisely calculated with receipts or invoices — pain and inconvenience, loss of enjoyment, stress caused by a contractor's negligence, or the hassle of dealing with a broken agreement. Courts sometimes call these "non-pecuniary" or "unliquidated" damages.

Special damages — the calculable losses with receipts (repair invoices, replacement costs, lost wages with pay stubs) — are not subject to the $2,000 sub-cap. They count toward the overall $20,000 limit.

How This Affects Your Claim Strategy

Suppose a contractor abandoned your kitchen renovation. Your losses might look like this:

Even though your actual inconvenience losses were $3,500, the court can award at most $2,000 for general damages. Your total claim would be $14,500 ($12,500 special + $2,000 general).

Filing Fee Costs vs. Recovery

Filing fees under the Court Services Fees Regulation are $75 (claims up to $5,000) or $100 (claims over $5,000). These fees are non-refundable — the court does not return them even if you win. A judge or court officer may award reasonably incurred disbursements separately from costs, but recovery is not automatic.

Even where disbursements are allowed, budget for the possibility that some or all of your filing, service, and other expenses will not be reimbursed.

Practical Takeaway

The cost and damages caps mean you should budget your small claims case carefully:

• Keep your own procedural costs low — self-representation is the norm
• Document every dollar of special damages with receipts, invoices, and quotes
• Do not overestimate what the court will award for general damages
• Factor the usual $500 costs cap, and the court's discretion over disbursements, into your decision about whether to pursue marginal claims

For a structured walkthrough of calculating your claim, filing the paperwork, and collecting the judgment, the Manitoba Small Claims Filing Guide covers all of it step by step.

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