Receiving a summons for a small claims collection case in Wisconsin can be unsettling. But don't panic! Understanding your rights and how to respond promptly and effectively can make a significant difference in the outcome. This blog post will walk you through the key steps to answering a small claims collection case in Wisconsin.

What is a Small Claims Collection Case?

In Wisconsin, small claims courts handle disputes involving relatively small amounts of money, typically up to $10,000. Debt collection cases are a common type of small claims action. When a creditor or debt collector sues you for an unpaid debt, they initiate this process by filing a "Summons and Complaint" with the court.

The Clock is Ticking: Don't Miss Your Deadline!

This is perhaps the most crucial point: You have a limited time to respond. Make sure you review the summons and complaint to understand when you need to appear in court and/or file a written answer. 

Step 1: Carefully Review the Summons and Complaint

Before you do anything else, thoroughly read every word of the Summons and Complaint. This document outlines:

• Who is suing you (the plaintiff): Is it the original creditor or a debt buyer?
• The amount they are claiming you owe: Is this accurate?
• The reason for the lawsuit: What specific debt are they trying to collect?
• The deadline for your response: Mark this on your calendar immediately!
• Where to file your written answer.

Step 2: Decide How You Want to Respond

You generally have a few options when faced with a small claims collection case:

1. Do Nothing (Default): As mentioned, this is generally not recommended as it will likely result in a default judgment against you, giving the plaintiff the right to collect the debt.
2. Settle Out of Court: You can try to negotiate directly with the plaintiff or their attorney to reach a settlement. This can save you time, stress, and potentially money. If you reach an agreement, ensure it's in writing and filed with the court.
3. File an Answer and Contest the Case: This is where you formally respond to the allegations and present your side of the story.

Step 3: Prepare Your Written Answer (Form SC-5200V)

For small claims cases in Wisconsin, the Answer and Counterclaim (SC-5200V) form is commonly used. You can typically find this form on the Wisconsin Court System website (wicourts.gov) or at your local Clerk of Courts office.

Here's what your Answer should generally include:

• Case Caption: Ensure you have the correct county, court, parties, and case number.
• Address Each Allegation: The Complaint will likely have numbered paragraphs detailing the plaintiff's claims. You need to respond to each one individually. You have three main ways to respond:
  • Admit: You agree with the statement.
  • Deny: You disagree with the statement and are asking the plaintiff to prove it. It's often advisable to deny as many allegations as possible, as it puts the burden of proof on the plaintiff.
  • Deny due to lack of knowledge: You don't have enough information to admit or deny the statement. This has the effect of a denial.
• Raise Your Defenses (Affirmative Defenses): This is crucial. Even if the plaintiff's claims seem true, you might have legal reasons why they shouldn't win. Common affirmative defenses in debt collection cases include:
  • Statute of Limitations: The debt is too old to legally collect. In Wisconsin, the statute of limitations for most credit card and medical debts is six years from the date of default.
  • Improper Service: You were not properly served with the Summons and Complaint according to court rules.
  • Identity Theft or Fraud: You don't owe the debt because you were a victim of identity theft or fraud.
  • Paid Off Debt: You have already paid the debt.
  • Violations of Consumer Protection Laws: The debt collector violated laws like the Wisconsin Consumer Act or the Fair Debt Collection Practices Act (FDCPA).
• Consider a Counterclaim: If you believe the plaintiff owes you money, you can include a counterclaim on the SC-5200V form. This can get complicated, so consulting with an attorney is highly recommended if you're considering this.

Step 4: File Your Answer with the Court and Serve the Plaintiff

Once you've completed your Answer form:

• Make Copies: Make at least two copies – one for yourself, one for the court, and one for the plaintiff.
• File with the Court: Bring the original Answer and your copies to the Clerk of Courts in the county where the case was filed. There might be a filing fee, though it can be waived if you are indigent.

Important Note on Local Rules: While the general steps are consistent, specific procedures can vary slightly by county. Always check your local court's rules or ask the court clerk for clarification.

Step 5: Prepare for Your Court Date

If you contest the case, the court will schedule a hearing (trial). Here's how to prepare:

• Organize Evidence: Gather all documents that support your defense (e.g., contracts, payment records, communication with the creditor, police reports for identity theft). Make copies for the court and the plaintiff.
• Identify Witnesses: If you have witnesses who can testify on your behalf, arrange for them to attend. You may need to subpoena them to ensure their appearance.
• Practice Your Presentation: Clearly and concisely present your side of the story to the judge. Stay composed and respectful.

Seeking Legal Assistance

While small claims court is designed to be accessible to individuals without an attorney, navigating a debt collection case can still be complex. Consider consulting with a Wisconsin attorney specializing in consumer law or debt collection. Many offer free initial consultations and can provide valuable advice, help you identify strong defenses, and even represent you in court.

By taking these steps, you can confidently and effectively answer a small claims collection case in Wisconsin and protect your financial rights.

Attorney Nathan DeLadurantey offers free consultations to explain your legal rights in Wisconsin. Free consultations can be scheduled online.