How to Recover Debt Through the Lagos Small Claims Court

If someone owes you money in Lagos and refuses to pay, you don't necessarily need a lawyer or an expensive court battle. The Lagos Small Claims Court was set up specifically to help individuals and small businesses recover debts quickly and affordably.

What is the Small Claims Court?

The Lagos Small Claims Court (SCC) is a fast-track court established under the Lagos State Magistrates' Court (Civil Procedure) Rules. It handles simple money claims without the formality of a regular court — no lawyers are allowed to appear for parties, proceedings are conducted in plain English, and judgments are typically obtained within 60 days.

Who Can Use It?

Any individual, sole trader, or business can file a small claim in Lagos as long as:

• The amount owed does not exceed ₦5,000,000 (five million naira)
• The dispute is purely about money — not land, not criminal matters
• The defendant's address or place of business is within Lagos State

Step 1: Send a Letter of Demand First

Before filing in court, you must send a formal Letter of Demand giving the debtor a chance to pay. This is a legal requirement under the Pre-Action Protocol. The letter should:

• State the exact amount owed
• Explain how the debt arose (goods sold, services rendered, loan, etc.)
• Give a deadline — typically 7 to 14 days
• Warn that court action will follow if unpaid

Pandas LP can draft and serve your Letter of Demand for you. Most debtors pay at this stage — it signals you are serious.

Step 2: Complete Forms SCA 1 and SCA 2

If the debtor ignores the letter, you file your claim using two forms:

• Form SCA 1 — The Claim Form. This sets out who you are, who owes you money, and the amount claimed.
• Form SCA 2 — The Statement of Claim. This tells the story: how the debt arose, what evidence you have, and what you are asking the court to order.

Both forms must be completed accurately. Any errors can cause delays or dismissal.

Step 3: File at the Registry and Pay the Court Fee

Take your completed forms (three copies) to the Small Claims Court Registry at the Lagos Magistrates' Court closest to the defendant's address. Pay the prescribed filing fee — this varies based on the amount of your claim but is generally between ₦3,000 and ₦15,000. You will be given a suit number.

Step 4: Serve the Defendant

The court will issue a Summons, which must be served on the defendant. Service is usually done by a court bailiff, but you can also instruct a process server. The defendant has a set number of days to respond.

Step 5: Attend the Hearing

On the hearing date, appear in person with all your evidence — invoices, receipts, messages, contracts, payment records. The magistrate will hear both sides and, if your claim is valid, enter judgment in your favour.

What Happens If They Still Don't Pay After Judgment?

A court judgment gives you the legal right to enforce payment. If the debtor still refuses, you can apply for a Garnishee Order to attach their bank account, or a Writ of Execution to seize their assets. Pandas LP handles judgment enforcement too.

How Long Does It Take?

From filing to judgment: typically 30 to 90 days, depending on whether the defendant contests the claim. Uncontested claims are faster.

Get Started with Pandas LP

Our Small Claims AI Agent walks you through the full process — drafts your Letter of Demand, prepares Forms SCA 1 and SCA 2, and files the claim on your behalf.