ANSWER, AFFIRMATIVE DEFENSES, AND (OPTIONAL) COUNTERCLAIM

IN THE NORTH CAROLINA SMALL CLAIMS COURT

[// GUIDANCE: This template is drafted for use in a North Carolina Small Claims action (N.C. Gen. Stat. §§ 7A-210 et seq.).
Although a written answer is not strictly required, filing one can preserve defenses, frame issues, and create a clear record for appeal or transfer.
Insert or delete bracketed material as appropriate, and verify that all factual allegations and defenses are supported by good-faith investigation in compliance with N.C. R. Civ. P. 11.]

I. DOCUMENT HEADER

1. Caption

STATE OF NORTH CAROLINA IN THE GENERAL COURT OF JUSTICE
COUNTY OF [COUNTY] DISTRICT COURT DIVISION
SMALL CLAIMS SECTION
FILE NO. __-SC-____

[PLAINTIFF NAME], )
Plaintiff, ) ANSWER, AFFIRMATIVE DEFENSES,
) AND [COUNTERCLAIM]
v. )
)
[DEFENDANT NAME], )
Defendant. )

2. Preliminary Statement

Defendant [DEFENDANT NAME] (“Defendant”) answers the Complaint of Plaintiff [PLAINTIFF NAME] (“Plaintiff”) as set forth below, asserts affirmative defenses pursuant to N.C. R. Civ. P. 8(c), and, if elected, asserts a counterclaim within the monetary jurisdiction of this Court.

3. Effective Date & Jurisdiction

a. This Answer is timely filed within the period permitted by law and the Magistrate’s scheduling notice.
b. This Court has subject-matter jurisdiction pursuant to N.C. Gen. Stat. § 7A-210 (small claim actions not exceeding the statutory limit) and personal jurisdiction over the parties based on proper service and residence/transactional connections within North Carolina.

II. DEFINITIONS

For purposes of this pleading, the following terms have the meanings ascribed below. Defined terms appear in bold type:

“Complaint” – the small-claims complaint filed by Plaintiff on [DATE FILED] and served on Defendant on [DATE SERVED].
“Parties” – collectively, Plaintiff and Defendant.
“Property” – the goods, money, or other subject matter of the dispute as described in the Complaint.

[// GUIDANCE: Add, delete, or revise definitions to mirror the Complaint’s allegations.]

III. OPERATIVE PROVISIONS

A. Specific Admissions, Denials, and Statements

1. Paragraph-by-Paragraph Response

2. Defendant admits the allegations in Paragraph [__] of the Complaint.

3. Defendant denies the allegations in Paragraph [__] of the Complaint.
4. Defendant lacks knowledge or information sufficient to form a belief as to the truth of the allegations in Paragraph [__] and therefore denies the same pursuant to N.C. R. Civ. P. 8(b).

[// GUIDANCE: Repeat or consolidate responses as needed. If the Complaint is un-numbered, track its factual statements in logical order.]

2. General Denial (if appropriate)
   To the extent not expressly admitted herein, Defendant denies each and every allegation of the Complaint.

B. Affirmative Defenses

Without admitting any liability and reserving all rights, Defendant pleads the following defenses, each as a separate and independent ground for relief under N.C. R. Civ. P. 8(c) and 12(b):

1. Failure to State a Claim – The Complaint fails to state a claim upon which relief can be granted.
2. Payment/Accord and Satisfaction – Any obligation alleged has been paid, satisfied, or otherwise discharged.
3. Statute of Limitations – Plaintiff’s claims are barred in whole or in part by the applicable limitation period(s).
4. Lack of Standing – Plaintiff lacks standing to assert the claims alleged.
5. Improper Service of Process – Service did not comply with N.C. Gen. Stat. § 1A-1, Rule 4.
6. Set-Off and Recoupment – Any recovery by Plaintiff must be offset by amounts Plaintiff owes Defendant.
7. Failure of Consideration – No valid consideration supports the alleged obligation.
8. Unjust Enrichment – Plaintiff seeks relief that would unjustly enrich Plaintiff at Defendant’s expense.
9. Reservation of Additional Defenses – Defendant reserves the right to assert additional defenses as discovery and investigation continue.

[// GUIDANCE: Plead every colorable affirmative defense now; adding new defenses later may require leave of court.]

C. Counterclaim (Optional)

1. Nature of Counterclaim
   Defendant asserts a counterclaim against Plaintiff in the amount of $[AMOUNT], arising from [brief description], which is within the $10,000 jurisdictional cap of the Small Claims Court.

2. Counterclaim Allegations
   a. On or about [DATE], Plaintiff [describe wrongful conduct].
   b. As a result, Defendant suffered damages of $[AMOUNT], exclusive of court costs.

3. Counterclaim Prayer
   WHEREFORE, Defendant demands judgment against Plaintiff on the counterclaim for:
   i. Damages of $[AMOUNT];
   ii. Pre- and post-judgment interest as allowed by law; and
   iii. Such other and further relief as the Court deems just and proper.

IV. REPRESENTATIONS & WARRANTIES (Reserved – Not applicable to pleading)

V. COVENANTS & RESTRICTIONS (Reserved – Not applicable to pleading)

VI. DEFAULT & REMEDIES (Reserved – Not applicable to pleading)

VII. RISK ALLOCATION (Reserved – Not applicable to pleading)

VIII. DISPUTE RESOLUTION

1. Governing Law: North Carolina substantive law applies.
2. Forum: All proceedings shall remain in the Small Claims Court of [COUNTY], North Carolina, unless transferred pursuant to N.C. Gen. Stat. § 7A-218 or appealed in accordance with N.C. Gen. Stat. § 7A-228.
3. Arbitration: Not applicable.
4. Jury Trial: Not available in Small Claims Court.

IX. GENERAL PROVISIONS

1. Amendment and Waiver – Defendant may amend this Answer once as a matter of course within the time limits of N.C. R. Civ. P. 15(a), or thereafter with leave of court.
2. Reservation of Rights – Defendant reserves all rights not expressly waived herein.
3. Integration – This pleading constitutes the entire Answer of Defendant as of the date executed below.

X. EXECUTION BLOCK

Executed this ___ day of _, 20.

Respectfully submitted,

[DEFENDANT NAME]
[ADDRESS]
[TELEPHONE]
Email: [EMAIL]
(Pro Se) or (By Counsel)

VERIFICATION

[// GUIDANCE: A verification is advisable but not mandatory in Small Claims. Omit if not required.]

I, [DEFENDANT NAME], being duly sworn, certify that I have read the foregoing Answer, that I am competent to testify to the matters stated therein, and that the matters stated are true of my own knowledge except as to those stated on information and belief, and as to those I believe them to be true.

[DEFENDANT NAME]

Sworn to and subscribed before me this ___ day of _, 20.

Notary Public
My Commission Expires: ____

CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing Answer, Affirmative Defenses, and [Counterclaim] was served upon Plaintiff [or Plaintiff’s counsel] by:
☐ First-Class U.S. Mail, postage prepaid, addressed as follows: [SERVICE ADDRESS];
☐ Hand delivery; or
☐ Other (specify): _________

on the ___ day of _, 20.

[DEFENDANT NAME]

[// GUIDANCE: Under N.C. R. Civ. P. 5(b), mail service is complete upon mailing. Retain proof of mailing for the record.]