An officer or representative of an LLC or corporation in Ohio may appear in Small Claims Court without an attorney, so long as there is no cross-examination or argument.
Ohio courts operate under a general rule that corporations may be represented only by licensed attorneys. However, there is a valuable exception for businesses that bring lawsuits in small claims court or are sued in small claims court. Any bona fide officer or salaried employee who is empowered to represent the business may appear in Small Claims Court, subject to some limitations on their conduct. Small Claims courts are for disputes involving $3,000 or less, and are decided within 30 days from the filing of a complaint.
R.C. 1925.17 provides:
“A corporation which is a real party in interest in any action in a small claims division may commence such an action and appear therein through an attorney at law. Such a corporation may, through any bona fide officer or salaried employee, file and present its claim or defense in any action in a small claims division arising from a claim based on a contract to which the corporation is an original party or any other claim to which the corporation is an original claimant, provided such corporation does not, in the absence of representation by an attorney at law, engage in cross-examination, argument, or other acts of advocacy."
The Ohio Supreme Court, discussing this narrow exception to the general rule that corporations may be represented only by licensed attorneys, stated that in small claims cases, where no special legal skill is needed, and where proceedings are factual, non-adversarial, and expected to move quickly, attorneys are not necessary. In Cleveland Bar Assn. v. Pearlman, 107 Ohio St.3d 136 (2005-Ohio-4107), the court held, in summary, “we hold that a layperson who presents a claim or defense and appears in small claims court on behalf of a limited liability company as a company officer does not engage in the unauthorized practice of law, provided that the layperson does not engage in cross-examination, argument, or other acts of advocacy."
More recently, the 6th District Court of Appeals of Ohio re-affirmed that a proper corporate representative can appear and provide his or her own testimony and present exhibits to support that testimony. The court noted that the representative cannot engage in argument, cross-examination or other acts of advocacy, however the representative clearly can appear on behalf of the corporation in order to avoid dismissal for lack of prosecution and can testify as an agent. (See Don Blank, Inc. v. Butler, 2007-Ohio-1112 (6th Dist, Ct.Apps. Ohio 2007).
For questions regarding managing business litigation and other business advice, contact us at info@thenashgroupLLC.com or call Jeff Nash at (440) 953-0959.
© 2007 The Nash Group, LLC
This information does not constitute legal advice. Persons using this website are strongly advised not to act on the information contained in it without seeking legal counsel or engaging The Nash Group, LLC.
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