NC Small Claims Court Unpaid Invoice

You finished the job, sent the invoice, followed up twice, and the check never came. Whether you are a freelancer, a sole trader, or a homeowner chasing a contractor who took a deposit and disappeared, NC small claims court is built for exactly this.

Does Your Claim Qualify?

Your unpaid invoice or refund claim must be within the county's small-claims limit, which ranges from $5,000 to $10,000 under N.C.G.S. § 7A-210. Interest and court costs do not count against the amount-in-controversy cap.

The statute of limitations is three years from the payment due date for a standard written or oral contract, or four years for a UCC sale-of-goods contract.

Contractor Deposit Claims

Homeowners pursuing a contractor who took a deposit and did not complete the work follow the same small claims process. The amount at stake is the unearned portion of the deposit — the money you paid minus the fair value of any work actually completed.

Send a written demand first, giving the contractor 10 to 14 days to refund the unearned amount. Keep a copy and the mailing receipt.

Building Your Case

The strongest unpaid invoice cases are built on paper, not memory.

For unpaid invoices: Bring the signed contract or purchase order, every itemized invoice, proof of delivery or work completion (emails, delivery receipts, project sign-offs), and a simple ledger showing the principal owed.

For contractor deposit refunds: Bring the written estimate or contract, the cancelled check or bank transfer receipt showing the deposit, photographs of uncompleted work, and a communications log (texts, emails, voicemails).

If the defendant is a business, search the NC Secretary of State database for the entity's exact legal name and registered agent. Filing against a trade name instead of the LLC's registered name produces a judgment you cannot collect on.

Calculating Interest

On a contract claim, prejudgment interest accrues from the date of breach at the contract rate. If your invoice or contract does not specify a rate, the legal rate of 8% per year applies (N.C.G.S. § 24-1). Use the simple interest formula: principal times rate times days elapsed divided by 365.

Include the interest calculation on your complaint. Magistrates expect plaintiffs to show their math — arriving with a round number and no explanation invites skepticism.

What to Expect at the Hearing

Magistrate hearings are short — often 10 to 15 minutes. Present your evidence in order: contract, invoices, delivery proof, demand letter, and interest calculation. Provide printed copies for the magistrate and the defendant. Do not rely on your phone screen.

If the defendant does not show up, you still must appear and present sworn testimony proving every element of your claim. The magistrate cannot enter a default judgment on paperwork alone.

Our North Carolina Small Claims Filing Guide covers the complete filing procedure for unpaid invoices and contractor disputes, including a cost calculator and evidence index designed for short hearings.

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