Opinion ID: 852892
Heading Depth: 2
Heading Rank: 1

Heading: Motions to Dismiss in Small Claims Proceedings

Text: Indiana Trial Rule 1 provides that the Trial Rules govern the procedure and practice in all courts of the state of Indiana in all suits of a civil nature.... Small Claims Rule 1(A) provides that the Small Claims Rules apply to all small claims proceedings.... The Court of Appeals has held the Trial Rules govern small claims proceedings to the extent the two sets of rules do not conflict, but where the two conflict, the Small Claims Rules apply. Muenich v. Gulden, 579 N.E.2d 665, 666 (Ind.Ct.App.1991). We agree. Small Claims Rule 10 provides for dismissal or default for the failure of a party to appear. The Small Claims Rules have no express counterpart to Trial Rule 12, and the Court of Appeals construed Small Claims Rule 10 to provide the only basis for dismissal of a small claims action without a trial. So viewed, Rule 10 would conflict with Trial Rule 12(B)(6) which permits dismissal of a complaint for failure to allege all elements of a claim. The Trial Rules differ from the Small Claims Rules in that a small claims action is initiated by filing a notice of claim which is to include a brief statement of the nature ... of the claim.... S.C.R. 1(B)(4). The Trial Rules require a complaint to include a short and plain statement of the claim showing that the pleader is entitled to relief. T.R. 8(A)(1). There is a substantial body of law on the precise meaning of this requirement. It is sufficient for these purposes to note the summary often recited by this Court and the Court of Appeals: a complaint in an ordinary civil action may not be dismissed for failure to state a claim unless it is clear on the face of the complaint that the complaining party is not entitled to relief. City of Gary v. Smith & Wesson, 801 N.E.2d 1222, 1229 (Ind.2003). As a general proposition, however, a small claims notice of claim is not required to set forth facts establishing a right to recover. Rather, small claims courts are intended to be used by non-lawyers. A notice of claim is sufficient if it sets forth, as the Rule provides, a brief statement of the nature of the claim. This more relaxed standard may be met by setting forth facts sufficient to identify the dispute, even if facts essential to recovery are not alleged. Thus, a civil complaint subject to a Rule 12(B)(6) motion for failure to include essential facts may nonetheless be sufficient to present a claim in a small claims court. Although a small claims notice of claim is granted substantial leeway, a motion to dismiss may nevertheless be appropriate in some cases. We do not view Small Claims Rule 10 as setting out an exclusive list of grounds for dismissal of a small claims action. To the contrary, a small claims case may be dismissed when it is apparent from the complaint that the pleader is not entitled to relief. The Court of Appeals recently wrestled with this issue in Bedree v. DeGroote, 799 N.E.2d 1167 (Ind.Ct.App.2003), decided about three months after the opinion of the Court of Appeals in this case. Bedree involved a disgruntled plaintiff who filed suit in Allen County Small Claims Court against the judge who presided over a previous case brought by the plaintiff. Allen County Small Claims Rule 8(C), provides that [t]he cause or any pending pleadings... may be dismissed with or without prejudice upon order of the Court.... The defendant-judge successfully moved to dismiss based on judicial immunity because the claim made clear the allegedly wrongful acts were the defendant-judge's judicial acts. On appeal, the Court of Appeals held that this rule permitted dismissal if the outcome is a foregone conclusion as a matter of law. Bedree, 799 N.E.2d at 1177. We agree with Bedree that a motion to dismiss is appropriate if the brief statement of the claim reveals that, as a matter of law, the plaintiff cannot prevail. Where, as in Bedree, the brief statement makes clear that the defendant's actions consisted of judicial rulings, judicial immunity is a bar, and dismissal is appropriate. A motion pursuant to Rule 12(B)(6) is an appropriate vehicle to present that issue to a small claims court, whether or not there is a local rule similar to Allen County Small Claims Rule 8(C). Other Rule 12(B) motions may also be appropriate in small claims actions. Lack of personal or subject matter jurisdiction, insufficient process, and a host of other dispositive issues are properly asserted by motion. In sum, a 12(B)(6) motion may not dismiss a claim in small claims court when a plaintiff merely fails to plead the facts of a claim that would be required of a complaint subject to the Trial Rules. But if a dispositive issue is revealed by the notice of claim, a 12(B)(6) motion is available, just as other Rule 12 motions may be made in small claims actions. Subsection 5(c) of the Tort Claims Act provides that a claim against employees in their individual capacities must allege that the acts complained of were, criminal, outside the scope of employment, malicious, willful and wanton, or for the personal benefit of the employee. Although the statute formulates this as a pleading requirement, it also amounts to a legislative establishment of substantive elements of a claim. Cf. Miner v. Southwest Sch. Corp., 755 N.E.2d 1110, 1113-14 (Ind.Ct.App.2001). Niksich's notice of claim did not allege any of these specific circumstances necessary to establish a right to relief against the individuals. For that reason, it did not state a claim against the defendants in their individual capacities nor did it allege that the employees were acting within the scope of their employment. However, we do not agree that these pleading issues warranted dismissal of the notice of claim with prejudice. Unlike the subsection 5(c) requirements to sue a state employee individually, there is no requirement of specific pleading for a claim against the State that an employee is acting within the scope of employment. We have held that a state employee may rely on the facts to establish that the employee was within the scope and therefore there was no individual liability. Bushong v. Williamson, 790 N.E.2d 467, 473 (Ind.2003). In that case, the plaintiff made clear the claim was against only the employee, and not against the State. Here, Niksich did give a timely notice of intent to sue the State and his notice of claim states that he seeks redress against employees in their official capacities. Accordingly, the original notice of claim was sufficient to present a claim against the State. Indeed, by his timely tort claim notice in November, Niksich alerted the State of his potential claim against it. The State was correct in its contention that the proper party had not been named as the defendant. We conclude, however, that failing to name the State as a party is not a basis to dismiss a small claims action where the complaint sufficiently alleges a claim against the State, the notice of claim names state officials in their official capacities, and the Tort Claims Act notice has been timely given.