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If Bob doesn't like Bill what is preventing Bob from annoying Bill by constantly coming up with new, ridiculous, small claims against him? Just going to court and preparing evidence is very stressful.

I've heard even if a case is dismissed without leave, if the plaintiff can reword it so that it is a slightly different case, it can be counted as a new one.

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If there is a history of this the plaintiff can be declared a vexatious litigant

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