How to Sue Someone Who Owes You Money in Maryland

Someone owes you money and won't pay. You've asked, you've followed up, and they're ignoring you. Maryland's small claims court exists for exactly this situation — a simplified process that lets you take someone to court without hiring a lawyer, as long as the amount is $5,000 or less.

Make Sure Your Claim Qualifies

Maryland's small claims docket in the District Court handles money-only claims up to $5,000, not counting interest, court costs, or attorney's fees recoverable by contract or law. Your claim can be based on a contract (unpaid invoice, loan, broken agreement) or a tort (property damage, vehicle damage).

The court doesn't handle evictions, requests to force someone to do something, or disputes over property ownership. If you need the person to take a specific action rather than pay you money, small claims isn't the right forum.

Check the three-year statute of limitations under CJP § 5-101. The clock starts when the debt became due — the date the loan was supposed to be repaid, the date the invoice was due, or the date the damage happened. If the person made a partial payment, the clock resets from that date.

Send a Demand Letter

Before filing, send a formal written demand by certified mail with return receipt requested. State what they owe, why, and a 10-to-14-business-day deadline for payment. Include a clear statement that you'll file in District Court if they don't pay.

A demand letter isn't legally required in most Maryland small claims cases, but judges view it favorably. It shows you tried to resolve the matter without the court's involvement. The certified-mail return receipt documents delivery of your demand — useful evidence if they later claim they didn't know about the debt.

File Your Complaint

Use Form DC-CV-001 at the District Court in the county where the defendant lives, works, or carries on business. Select "Contract" or "Tort" based on the nature of the debt, describe the facts briefly, and state the exact dollar amount you're claiming.

Attach copies of any supporting documents: the contract or agreement, invoices, loan records, text messages confirming the debt, photos of damage, or bank statements showing payments you made.

The filing fee is $44 for small claims. You'll also pay for service of process — $20 for clerk certified mail or $60 for sheriff service per defendant.

Serve the Defendant

The defendant must be formally notified of the lawsuit. When you file, the clerk can handle service by certified mail for $20 per defendant. Alternatively, the county sheriff serves in person for $60.

If the person is avoiding service, a private process server is another option (market rate, typically $50–$100). For businesses, service goes to the resident agent listed in the SDAT database — not to whatever address is on their website or business card.

After service, the defendant has 15 days (60 days if served outside Maryland or through SDAT or the Insurance Commissioner) to file a Notice of Intention to Defend. If they don't respond and don't show up at the hearing, you can request a default judgment.

Present Your Case at the Hearing

Small claims hearings are informal bench trials. No jury, no formal discovery, and relaxed evidence rules under Rule 3-701. Bring the original of every document plus two copies.

Tell the story simply: what was agreed, what was owed, what you did to collect, and what the defendant failed to do. Let your documents carry the argument. The judge typically gives each side 20 to 30 minutes.

If you win, the court enters a judgment with post-judgment interest at 10% per year (6% for residential rent judgments). The defendant can pay voluntarily, or you can pursue enforcement through wage garnishment, bank levies, or property liens.

The Maryland Small Claims Filing Guide gives you a complete roadmap from demand letter to hearing, with fillable worksheets for tracking every deadline and organizing your evidence.

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