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Do corporations need attorney representation in small claims court(over $5000)?

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griffin_t_a

Junior Member
What is the name of your state (only U.S. law)? Wisconsin


Do corporations need attorney representation in small claims court(over $5000)? I can't find the statute but the Judge in Circuit Court told the General Manager of Best Buy(who claimed to have Power of Attorney) that corporations need attorney representation. The Judge couldn't find the statute so he let the case proceed, hearing only from the witness.(not the GM). So please let me know the statute so I can decide whether to appeal. Thank you.
 


justalayman

Senior Member
I believe that would be 799.06(2)

http://www.legis.state.wi.us/statutes/Stat0799.pdf


(2) A person may commence and prosecute or defend an
action or proceeding under this chapter and may appear in his, her
or its own proper person or by an attorney regularly authorized to
practice in the courts of this state. Under this subsection, a person
is considered to be acting in his, her or its own proper person if the
appearance is by a full−time authorized employee of the person.
An assignee of any cause of action under this chapter shall not
appear by a full−time authorized employee, unless the employee
is an attorney regularly authorized to practice in the courts of this
state.
 

blocked

Member
I was recently involved in a real estate suite with an LLC in WI. The person was told that they must have legal representation "because you are protected and receive benifits of the law as an LLC, you are also required by law to bear the finacial burden of legal representation". She attempted to trasfer title with a quitclaim deed to remove the LLC. Backfired! Lost everything by default! By WI law she wasn't allowed to even speak on behalf of the LLC. (Some law about needing a law degree to even talk because the suit was filed againt the LLC.) The plantiffs were awarded everything they asked for. Bigger easements, prescriptive easements. and no maintainence agreement was given to the LLC. She was warned several times to have a lawyer in court.
 

Mass_Shyster

Senior Member
The flip side of this is that the attorney for the corporation will often move the case out of small claims and into a trial court, where the plaintiff is in over his/her head.
 

FlyingRon

Senior Member
The poster is talking about small claims. Other courts (notably the circuit court) require those who appear for corporations to be lawyers. Corporations aren't people, they can't appear for themselves (see 757.30).
 
Last edited:

latigo

Senior Member
Finding no specific provision in Wisconsin law permitting a layperson to represent a corporation in small claims court – which is permitted in some states –

The magistrate might have turned to the Wisconsin statute defining the practice of law, (in part):

“… every person who appears as agent, representative or lawyer, for or on behalf of any other person, or any firm, partnership, association or corporation in any action or proceeding in or before any court of record ... shall be deemed to be practicing law within the meaning of this section.” Wis. Stat. section 757.30 Section 757.30(2).

And then the Wisconsin Supreme Court’s decision in the case of Jadair Inc. v. U.S. Fire Insurance Co., 209 Wis. 2d 187, 562 N.W.2d 401 (1997), which decision interpreted the above section 757.30(2) to mean that:

“Only lawyers can appear on behalf of, or perform legal services for corporations in legal proceedings before Wisconsin courts. Further that:

“When a nonlawyer engages in [practicing law], not on his own behalf but on behalf of a corporation, that person is subject to penalty under Wis. Stat. § 757.30.”

____________________

I only bring this to your attention and not intended to be authoritative on the question. Moreover it is to be noted that although the Jadair decision cut no distinction between small claims and courts of record it did not emanate out of a Wisconsin small claims court.
____________________

However, this all seems superfluous inasmuch as if you timely appeal the adverse decision (10 days) you would have a hearing or trial de novo before a Wisconsin Court of Appeal in which the non-attorney could definitely not advocate on behalf of the corporation.

(See: DAVID SCHMIDT AND SHELBY WILLIAMS, PLAINTIFFS-APPELLANTS, V. WISCONSIN O'CONNOR ORPORATION,
DEFENDANT-RESPONDENT. STATE OF WISCONSIN IN COURT OF APPEALS DISTRICT II Appeal No. 01-2493 Cir. Ct. No. 00-SC-4340)
 

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