A customer has not paid, invoices are overdue, and the complaint lists “common counts” alongside breach of contract. What does that mean? Common counts are streamlined claims used to recover money owed where legally permitted. They can simplify pleading, but they do not eliminate the need for evidence or erase a debtor’s defenses. This article explains the common counts California creditors frequently use, how they differ from contract claims, and what California businesses and individuals should review before filing or responding to a collection lawsuit.
What are common counts in California?
Common counts are traditional forms of pleading that describe a monetary obligation in general terms. Instead of reciting every contractual provision, a creditor alleges that the defendant owes a certain amount for a recognized reason, such as goods delivered, services performed, or an agreed account balance.
California’s Judicial Council provides an optional common-counts attachment, form PLD-C-001(2), for appropriate contract-related claims. However, Code of Civil Procedure § 425.30 prohibits common counts in actions to collect qualifying consumer debt incurred on or after July 1, 2024. This restriction concerns debt incurred by a natural person primarily for personal, family, or household purposes. Section 337a also excludes that debt from the definition of a book account. The form’s availability does not mean every unpaid invoice supports every listed claim. The creditor still must select a legally available theory that fits the transaction and establish its elements.
Common counts often appear alongside breach-of-contract claims where legally permitted, including in appropriate business-debt cases. They offer alternative ways to describe the same alleged debt, not permission to recover that debt twice. A breach-of-contract claim does not remove § 425.30’s prohibition on common counts for qualifying consumer debt incurred on or after July 1, 2024. An attorney evaluating California debt collection claims should examine the agreement, payment history, and supporting records before choosing which claims to plead.
Common counts California creditors can plead
Where common counts are legally permitted, the appropriate count depends on why the money is allegedly owed. The following theories are not available to collect qualifying consumer debt incurred on or after July 1, 2024. Frequently used theories in eligible cases include:
- Open book account: A claim based on a detailed principal record of transactions arising from a contract or fiduciary relationship, kept in the regular course of business and showing debits and credits. Code of Civil Procedure § 337a defines a book account and expressly excludes qualifying consumer debt incurred on or after July 1, 2024. A stack of invoices does not automatically satisfy that definition.
- Account stated: A claim that the parties agreed that a balance from prior transactions was correct and payable. The agreement may be express or implied, depending on the evidence.
- Goods sold and delivered: A claim for payment for goods supplied to the defendant under circumstances creating an obligation to pay.
- Services rendered: A claim for an agreed amount or, where legally appropriate, the reasonable value of services provided at the defendant’s request.
- Money lent: A claim to recover money advanced as a loan, with evidence of an obligation to repay.
- Money had and received: A claim that the defendant received money that, in fairness and under applicable law, belongs to the plaintiff.
These theories are not interchangeable. For example, an account stated requires agreement—express or implied—about an existing balance; sending a demand letter does not automatically create that agreement. Recovery of the reasonable value of services generally is unavailable when an enforceable express contract governs those same services. It may be available where the contract is unenforceable, has been rescinded, or does not cover the services at issue, depending on the facts and applicable law. Other common-count or restitutionary theories require separate analysis; the existence of an express contract does not automatically defeat every such claim.
What evidence supports a common-counts claim?
The simplified format of a complaint should not be confused with simplified proof. If the defendant contests the debt, the creditor must establish the factual basis for the claim, the amount recoverable, and the defendant’s responsibility for payment.
Useful evidence may include:
- Signed agreements, purchase orders, and accepted proposals.
- Invoices, delivery confirmations, and records of completed work.
- Account ledgers showing charges, payments, credits, and adjustments.
- Emails acknowledging the obligation or agreeing to a balance.
- Assignment records establishing who owns the claim, if ownership changed.
An invoice generated by the creditor may support a claim, but it is not necessarily proof that the customer accepted the work or agreed to every charge. Records must also satisfy applicable evidentiary requirements. Missing credits, unexplained fees, or inconsistent balances can undermine an otherwise legitimate claim.
For an account stated, silence after receiving a statement may be relevant in some circumstances. It is not an automatic admission, especially where receipt, prior dealings, or the balance itself is disputed.
Deadlines and defenses still apply
Common counts do not provide a universal way around the statute of limitations. Code of Civil Procedure § 337 generally provides four years for actions founded on a written instrument and for specified book-account and account-stated claims. Those provisions must be read alongside § 337a’s exclusion of qualifying consumer debt incurred on or after July 1, 2024, and § 425.30’s prohibition on common counts to collect that debt. Section 339 generally provides two years for an obligation or liability not founded upon an instrument in writing. Selecting the correct period and accrual date requires examining the claim’s actual legal basis.
Changing a claim’s label does not necessarily change its deadline. Nor should a creditor assume that a later statement or demand restarts the limitations period. Payments, acknowledgments, and other events can raise additional issues requiring individual analysis.
Defendants may dispute payment responsibility, delivery, performance, the amount charged, ownership of the debt, or whether the parties ever agreed to the asserted balance. They may also raise payment, credits, limitations, or other applicable defenses. Individuals facing consumer collection claims should separately assess whether debt-collection laws impose additional requirements or remedies.
Choosing a practical collection strategy
Before suing, reconcile the account and identify the correct defendant. A business owner is not automatically personally liable for a company’s debt. Review contractual notice requirements, dispute-resolution provisions, and any agreement affecting payment timing.
For defendants, preserve records and respond by the applicable court deadline. Even a disputed debt can lead to a default judgment if the lawsuit is ignored. For either side, a focused review of the documents can clarify whether negotiation, litigation, or another approach makes sense.
Talk to a California business attorney
Itkin Law offers free consultations for businesses and individuals evaluating common-counts claims, unpaid accounts, or collection defenses. Schedule a free consultation or call (424) 603-8888.
This article is attorney advertising and provides general information only. It is not legal advice and does not create an attorney–client relationship. The law changes, and this article reflects the law as of its publication date. Every situation is different — contact us to discuss how the law applies to your exact circumstances. See our full disclaimer.
