News, Views, Reviews!

Amendment to O. Reg 626/00 — Small Claims Court Jurisdiction and Appeal Limit — Effective October 1, 2025

May 14, 2025

The big news is that effective October 1, 2025, the Small Claims Court monetary limit increases from $35,000 to $50,000 (CAD). In addition, the appeal threshold increases as well, from $3,500 to $5,000.00 — meaning a higher threshold for appeals to the Divisional Court.

Jurisdiction

• 1. (1) The maximum amount of a claim in the Small Claims Court is $35,000. O. Reg. 626/00, s. 1 (1); O. Reg. 439/08, s. 1 (1); O. Reg. 343/19, s. 1.
• (2) The maximum amount of a claim over which a deputy judge may preside is $35,000. O. Reg. 626/00, s. 1 (2); O. Reg. 439/08, s. 1 (2); O. Reg. 343/19, s. 1.
• Note: On October 1, 2025, section 1 of the Regulation is amended by striking out “$35,000” wherever it appears and substituting in each case “$50,000”. (See: O. Reg. 42/25, s. 1)

Appeal limit

• (1) For the purposes of clause 31 (a) of the Act, the prescribed amount is $3,500. O. Reg. 317/11, s. 1; O. Reg. 343/19, s. 2.
• (2) For the purposes of clause 31 (b) of the Act, the prescribed amount is $3,500. O. Reg. 317/11, s. 1 O. Reg. 343/19, s. 2.
• Note: On October 1, 2025, section 2 of the Regulation is amended by striking out “$3,500” wherever it appears and substituting in each case "$5,000" (See: O. Reg. 42/25, s. 2)
• 3. Omitted (provides for coming into force of provisions of this Regulation). O. Reg. 626/00, s. 3.

This highly-anticipated change under Ontario Regulation 626/00 enhances access to justice, as a party can be represented by a lawyer, licensed paralegal or be self-represented. Notably, this change elevates the role of licensed paralegals in Ontario and opens the door to pursuing higher value claims in a faster, more cost-effective forum for clients. These updates demonstrate Ontario's commitment to improving efficiency and access in Small Claims Court.

What does this mean for the LTB?

Pursuant to s. 207(1) of the Residential Tenancies Act, 2006 (the “RTA”) which states that the Small Claims Court and the LTB monetary limits are “tied”, this change will also increase the LTB's monetary cap from $35,000 to $50,000.

This will be a welcome change for landlords pursuing rent arrears and other amounts before the LTB. Current monthly rental amounts and significant delays before the LTB have seen many landlords in recent months “bumping up against” the monetary jurisdiction of $35,000 and, worse, often waiving entitlement to amounts exceeding $35,000.00 in favour of having matters fully and finally concluded and/or to avoid what can be costly proceedings before the Superior Court.

The LTB is also currently limited to $35,000 when ordering fines payable to the LTB by a landlord. The increased monetary limit will also mean the maximum fine that may be ordered by the LTB will be $50,000 after October 1, 2025.

Ontario's 2025 reforms, as outlined above, mark a significant shift for both the Small Claims Court and the LTB. With higher monetary limits and more streamlined procedures, individuals, landlords, tenants, and businesses can resolve larger disputes more efficiently and affordably. These changes enhance access to justice and make both forums more effective tools for everyday legal issues.

SMALL CLAIMS COURT INCREASE!

May 2, 2025

Family Legal Services Provider (FLSP) License

November 9, 2024

Paralegals are currently not permitted to appear in Family Court. However, on December 1, 2022 the Law Society of Ontario (LSO) approved a proposal for the Family Legal Services Provider (FLSP) License, which will allow paralegals to offer certain services in family law.

In the approved motion, paralegals who obtain the licence will be allowed to:

• Appear in court on motions to change child support where a person’s income is less than $150,000 (and determined by their employer) and to respond to proceedings to enforce support payments through this licence.
• Assist individuals through procedures like filing deadlines.
• Help in preparing and completing applications for simple joint and uncontested divorces, domestic contracts, and name changes.

To obtain the licence, paralegals will have to complete 260 hours (about three months) of full-time education and training and pass an exam. Stay tuned for some exciting updates!!!

Jaclyn's Paralegal Firm, Lawfully Yours, is a leading provider of...

April 17, 2023

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