Settling, Mediation, and Continuances in South Dakota Small Claims Court

You filed your small claims case, the hearing is scheduled, and now the defendant wants to talk. Or maybe you're the one who needs more time. South Dakota small claims court gives you options at every stage — settling, requesting a postponement, or trying mediation — but each has its own rules.

Settling Before the Hearing

You can settle a South Dakota small claims case at any point before the magistrate issues a judgment. Most settlements happen after the defendant receives the certified mail notice and realizes showing up in court is worse than paying.

If you reach an agreement:

1. Get the settlement terms in writing — the amount, the payment deadline, and what happens if they don't pay
2. File form UJS-255 (Small Claims Notice of Dismissal) with the clerk to cancel the hearing
3. Know that your filing fee is non-refundable — factor that into the settlement amount

A common mistake: agreeing to a verbal settlement, dismissing the case, and then watching the defendant ghost you again. Once you file the dismissal, the case is closed. If they don't pay, you'd have to file a brand-new claim and pay the filing fee a second time.

Safer approach: If you don't fully trust the other side, ask them to pay before you file the dismissal. Or agree in writing that the case stays open until payment clears, and you'll file the dismissal within a set number of days after receiving the money.

Requesting a Continuance

A continuance is a postponement of the hearing date. Either side can request one, but the magistrate doesn't have to grant it.

Valid reasons the court typically accepts:

• A medical emergency or serious illness (with documentation)
• A scheduling conflict with a previously committed court appearance
• The need to arrange personal service after certified mail failed
• A recently filed counterclaim that requires preparation time

Reasons that rarely work:

• "I need more time to get my evidence together" (you've had since the filing date)
• A vacation or work trip you scheduled after receiving the hearing notice
• Hoping the other side gives up and drops the case

To request a continuance, contact the clerk's office as early as possible — ideally in writing — and ask what procedure the court requires. Do not assume the hearing date has changed until the court confirms a continuance.

Mediation in South Dakota

South Dakota doesn't mandate mediation in small claims cases. Ask the clerk whether your circuit offers a small claims mediation option or whether you would need to arrange a mediator. Mediation puts a neutral third party in the room to help both sides negotiate a resolution without the magistrate making a decision for you.

Benefits of mediation:

• You control the outcome instead of leaving it to the judge
• Agreements can include terms a court judgment can't (like an apology, a payment plan, or future business terms)
• It's less adversarial, which matters when you'll see the other person again (neighbor disputes, local business relationships)

The catch: a settlement requires both sides to agree. If mediation does not produce an agreement, keep preparing for the hearing unless the court confirms a new date.

If mediation produces an agreement, it's typically put in writing and filed with the court. Mediation communications are generally privileged and inadmissible under SDCL 19-13A-4, but exceptions apply under SDCL 19-13A-6, including for signed agreements.

Settlement at the Courthouse

Magistrates in South Dakota often give both parties a few minutes to talk before the hearing starts. Many cases settle right there in the hallway. If you reach an agreement at the courthouse:

• Tell the magistrate before the hearing begins
• The magistrate may enter the settlement as a consent judgment (which is enforceable like any other judgment) or allow you to dismiss
• A consent judgment is stronger than a voluntary dismissal because you can enforce it through garnishment or execution if the defendant doesn't pay

What If the Defendant Offers a Partial Payment?

This happens constantly. You're owed $4,000 and the defendant offers $2,500 to "make it go away." You need to decide:

• Is $2,500 guaranteed better than $4,000 that depends on winning at the hearing and then actually collecting?
• Can the defendant even pay $4,000? If they're judgment-proof (no wages to garnish, no property to lien), $2,500 in hand might be the better outcome
• Will they actually pay the settlement amount, or are they buying time?

There's no legal obligation to accept a partial settlement. If the offer isn't enough, go to the hearing and present your full case.

The South Dakota Small Claims Filing Guide covers the entire timeline from demand letter to hearing day, including how to structure settlement demands and what to do if negotiations break down partway through.

See more South Dakota guides →