Everything Blows Up! California Raises Small Claims Threshold to $6,250 with New Law AB 2781

In a move that promises to shake up California’s judicial system, Governor Gavin Newsom approved AB 2781, a law that introduces substantial changes to court fees for civil proceedings. The legislation, which automatically took effect on July 16, 2026, updates the claim amounts that determine which fee must be paid when filing a case, submitting procedural modifications, or filing appeals in limited jurisdiction courts.

One of the hottest points of AB 2781 is the expansion of the range of claims eligible for the $50 filing fee in small claims. Before the amendment, that fee only applied to claims over $1,500 and up to $5,000. Under the new law, the upper limit stretches to $6,250. A leap that leaves many out!

The fee structure for those who have filed 12 or fewer such claims in the last 12 months is as follows: for claims up to $1,500, the fee is $30; between $1,500.01 and $5,000, $50; between $5,000.01 and $6,250, also $50 (previously a higher fee applied). Those who have filed more than 12 small claims in the past year must pay $100 for each new case, as established by prior law. Additionally, each party must continue to submit a declaration indicating whether they exceed that limit of recent claims.

The law also maintains the mechanism to amend the claim amount but adjusts the additional payment structure. If a claim originally filed with the lowest fee increases its amount to enter a higher fee range, the plaintiff must pay only the difference. The additional charges are defined as follows: from the $30 fee to the $50 fee, $20 is paid; from the $50 fee to the $100 fee, $50 is paid; from the $100 fee to the $205 fee, $105 is paid; and from the $205 fee to the $330 fee, $125 is paid. The law clarifies that these amounts must be paid at the time of filing the amendment and that there are no refunds if the claimed amount is later reduced.

For limited jurisdiction civil cases, AB 2781 also introduces changes. When the claimed amount (excluding attorney fees and costs) is $12,500 or less, the uniform fee is $205. If it exceeds that threshold, the fee rises to $330. The amendment requires that the first page of the initial pleading indicate whether the claimed amount exceeds $12,500, replacing the previous limit of $10,000.

The law, introduced by the Assembly Judiciary Committee, applies to complaints, petitions, initial requests, and documents forwarded from other courts by transfer of a civil proceeding, with existing exceptions. Undoubtedly, AB 2781 is a blow to the pockets of Californians seeking justice, but also a necessary update for a system that was falling behind.