Taking Someone to Court in Victoria: A Plain-English Guide to Civil Litigation

Disputes happen in business and in everyday life. When negotiation fails and the amount of money or the issue at stake is significant, court action may be the only way to resolve the matter. This guide explains how the civil court system in Victoria works and what you can expect if you decide to pursue a claim.

Which Court Do You Use?

The court you go to depends on how much money is involved in the dispute.

Magistrates’ Court of Victoria

The Magistrates’ Court handles civil claims up to $100,000. It is the most commonly used court for smaller commercial disputes, debt recovery, and contract claims. Cases in this court are generally faster and less expensive than in higher courts.

County Court of Victoria

The County Court handles claims above $100,000 and up to around $1 million, though it can also hear some larger matters. It deals with more complex civil and commercial disputes, including director liability claims and building disputes.

Supreme Court of Victoria

The Supreme Court handles high-value or legally complex matters. If your case involves significant amounts of money or difficult questions of law, this is likely where it will be heard.

Before You Issue Proceedings

Courts expect parties to make a genuine attempt to resolve the dispute before proceedings are commenced, consistent with the overarching obligations in the Civil Procedure Act 2010 (Vic). This usually means sending a formal letter of demand that clearly sets out your claim and gives the other party a reasonable time to respond. Many disputes are resolved at this stage without the need for court action.

How Costs Work in Civil Litigation

In Victoria, the general rule is that costs follow the event. This means the losing party is usually ordered to pay a portion of the winning party’s legal costs. However, this does not mean 100% of costs are recovered. In practice, a successful party may recover between 60% and 80% of their actual legal costs, and sometimes less.

This is an important consideration when deciding whether to pursue a claim. If the cost of litigation is likely to exceed what you stand to recover, you should discuss this carefully with your solicitor.

Alternative Dispute Resolution

Before a case goes to trial, the court will often require the parties to attempt mediation. A mediator is a neutral third party who helps the parties negotiate a settlement. Many disputes are resolved at mediation, which can save both parties significant time and money compared to a full trial.

How Long Does Litigation Take?

Civil litigation in Victoria takes time. In the Magistrates’ Court, a matter might take between 6 and 18 months from start to finish. In the County or Supreme Court, it can take one to three years or more, depending on the complexity of the case and how busy the court is.

Key Documents in a Civil Case

Civil litigation involves a number of formal documents, including a statement of claim, a defence, requests for discovery of documents, and witness statements. Getting these right from the start is important, as errors or omissions can affect the outcome of your case.

Speak to a Litigation Solicitor

If you are considering taking legal action or have received a claim against you, it is important to get advice as early as possible. Contact Professional Edge Lawyers to discuss your dispute with an experienced litigation solicitor. We can help you understand your options, assess the strength of your position, and guide you through the process.