How to Sue a Company in Small Claims Court California

Suing a business in California small claims court is entirely possible — and it's done thousands of times a year by tenants fighting landlord companies, consumers disputing contractor charges, and customers whose orders never arrived. But suing a business has specific procedural requirements that don't apply to suing an individual, and getting them wrong can result in a judgment that is technically uncollectable even if you win.

Here is how to do it correctly.

Step 1: Find the Company's Correct Legal Name

This is the single most important step in suing a business — and the most commonly skipped.

You cannot sue "Bob's Plumbing." You must sue the legal entity that is actually obligated on the contract: "Robert Allen Wilson dba Bob's Plumbing" (if it's a sole proprietorship) or "Wilson Plumbing Services, LLC" (if it's an LLC) or "Wilson Plumbing Inc." (if it's a corporation).

If you get the name wrong, a judgment against "Bob's Plumbing" has no legal entity to enforce against. The company can claim the judgment doesn't apply to them.

How to find the correct legal name:

Go to the California Secretary of State's business search at bizfileonline.sos.ca.gov. Search for the business name. The results will show you: - The exact registered legal name - The business type (corporation, LLC, partnership) - The status (active, suspended, dissolved) - The Agent for Service of Process (the person you must serve) - The registered business address

Write down the exact legal name as it appears in the database. This is what goes on Form SC-100.

Step 2: Confirm the Business Is Suable in California Small Claims

Most businesses can be sued in California small claims. A few specific situations to know:

Sole proprietorships: Sue the individual owner using their full legal name and trade name: "Jane Doe dba Doe Interior Design." The owner is personally liable.

LLCs and corporations: These are separate legal entities. Sue the entity, not the individual owners (who are generally protected by the corporate veil). The exception: if you can show the owner personally committed fraud or failed to observe corporate formalities, you may be able to pierce the veil — but this is complex and rarely relevant to routine small claims disputes.

Franchises: A franchise location (e.g., a specific McDonald's restaurant) is often a separate LLC or corporation from the parent brand. You sue the local franchise entity, not the national corporation, unless the parent company was directly involved.

Out-of-state companies: California courts have jurisdiction over out-of-state companies if the company does business in California and the dispute arose from California activities. The company's California Agent for Service of Process (if registered) is who you serve.

Federal government and federally chartered entities: Cannot be sued in California small claims court.

Step 3: Claim Limits for Business Defendants

This is a critical distinction: California's small claims limit is based on the plaintiff's legal status, not the defendant's.

• If you (an individual) are suing a company, your claim limit is $12,500 (CCP § 116.221)
• If your business (a corporation or LLC) is suing another company, the limit is $6,250 (CCP § 116.220)

Companies being sued are not protected by lower limits — a corporation can be ordered to pay up to $12,500 to an individual plaintiff.

Step 4: Send a Demand Letter to the Business

California law (CCP § 116.320) requires you to demand payment before filing. For businesses, address the demand letter to: - The company's registered address (from the SOS database), OR - The business's last known place of business, OR - The Agent for Service of Process

Send by certified mail with return receipt. Keep the receipt card — it proves the company received your demand and chose not to respond.

Step 5: File Form SC-100 Correctly

On Form SC-100, list the defendant as the full legal entity name you found in the Secretary of State database. For example:

• Correct: "Wilson Plumbing Services, LLC, a California Limited Liability Company"
• Wrong: "Bob's Plumbing" or "Wilson Plumbing"

If the company operates under a fictitious name (DBA), list both: "Robert Wilson dba Bob's Plumbing."

Also note the correct filing location. You can file in the county where: - The company has its principal place of business - The contract was to be performed - The incident occurred

Step 6: Serve the Agent for Service of Process

You cannot serve a business by handing papers to any random employee. California law requires you to serve the company's legal representative:

For corporations: Serve the registered Agent for Service of Process, any officer of the corporation (president, vice president, secretary, treasurer), or a general manager.

For LLCs: Serve the registered Agent for Service of Process or any manager.

How to find the agent: The Agent's name and address are listed in the Secretary of State's database. Some companies use registered agent services (CT Corporation, The Corporation Trust Company, Cogency Global) — serve those addresses.

Service must occur at least 15 days before the hearing if the agent is in the same county, or 20 days if in a different county.

Complete Form SC-104 (Proof of Service) and file it with the court clerk at least 5 days before the hearing.

Step 7: Prepare Evidence for Your Case

Companies, especially larger ones, may send a representative to dispute your claim. Come prepared:

• Your contract or purchase confirmation — if it's a digital receipt, print it with the transaction date and company name visible
• Communications — emails, texts, or chat logs showing your requests and the company's responses (or non-responses)
• Proof of payment — bank statements, credit card statements, PayPal records
• Photos — of defective work, damaged goods, or unfinished projects
• A one-page chronology — dates, events, amounts, and what you requested at each stage

Three copies of everything: one for the judge, one for the company's representative, one for yourself.

What Happens If the Company Doesn't Show Up

If the company was properly served and no representative appears, you can request a default judgment on the spot. The judge may still require you to present some evidence of your claim — don't assume the default is automatic — but without opposition, your documented case is strong.

Note: corporate defendants sometimes send paralegals or non-lawyer representatives to small claims court. Remember, attorneys cannot represent clients at the initial hearing (CCP § 116.530) — but non-lawyer employees and corporate officers can appear on behalf of the company.

After You Win: Collecting From a Business

A judgment against a business can be enforced like any other judgment. Tools include: - Bank levy (Writ of Execution, Form EJ-130) on the business's bank accounts - Levy on business assets — equipment, inventory, accounts receivable - Wage garnishment is not applicable to businesses (only to individuals with employment income)

If the business is insolvent, dissolved, or has no assets, collecting can be difficult regardless of your judgment. This is why researching the company's status (suspended, active, or dissolved) in the SOS database before filing helps you assess your realistic chance of collection.

The California Small Claims Court Filing Guide includes a full section on suing businesses — from identifying the correct entity through enforcement — with the specific forms and steps at each stage.

Get the California Small Claims Court Filing Guide