Lawsuits to collect debts are usually filed in state courts—and may be filed in small claims courts, depending on the amount of the debt and the small claims court’s jurisdictional limits (the maximum amount of a claim that can be filed in the court).
In Maryland, lawsuits to collect debts are typically filed in the state's District Court or Circuit Court, depending on the amount of the debt. Small claims actions, which are for the recovery of money where the claim does not exceed $5,000, are handled by the District Court, which is designed to be more accessible and less formal. This is in accordance with Maryland's jurisdictional limits for small claims. If the amount of the debt exceeds the small claims cap but is less than $30,000, the case is still heard in the District Court, but through a different process. For debts exceeding $30,000, the lawsuit would be filed in the Circuit Court. It's important for individuals involved in debt collection lawsuits to understand the specific procedures and rules that apply to these courts, and they may wish to consult with an attorney for guidance.