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Diafel, there are two questions here. Did the person rent the gear or was it for company purposes only? If it was the former, then the person may use the rental property anyway they feel fit. If it was the latter, then it is a misappropriation of company assests.

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You can be strange but not a stranger

The day he used it unauthorized was NOT a rental. It was to be used for my company gig ONLY, which he was HIRED to do.

Tim, from what Diafel wrote, this guy rented her gear to represent her at a Saturday night gig that she could not host. He then took it upon himself to use her equipment for some charity gig prior to doing the evening show (without Diafel's permission).

Diafel, I don't know what the Small Claims laws are like in Canada, but I'll tell you what it's like in NY. Back in January of '09, I sued my ex-roommate for money that he had stolen from me. I took him to Small Claims Court. It's a loooooooong story, so I won't get into it now. Since he agreed to pay the money without having the case heard, the Arbitrator wrote up a payment schedule for him to abide by.

His payments began on April 15th. He was on time with his 1st payment, but late with his 2nd and 3rd payments. I was willing to let the first late payment slide, but after the 2nd one was late, I decided to take further action. I went back to Small Claims Court, and stated that the ex breached his agreement, so now I received a Judgement. The Judgement stated that he now had to pay the remaing balance in full (plus some computed Interest that the Court added on to the total).

According to the instructions from this Judgement, I was to contact him and inform him of the Judgement. I was then to inform him that he has 30 days to pay this Judgement or further Legal actions would be taken. These actions could include freezing his assets until payment is made, or garnishing his paycheck. Since I know that he has no assets that could be frozen (he doesn't own a car or home or anything of value, and he has no savings (since he still owes his Ex-Wife for Allimony and Child Support)), my only course of action would be to have his paychecks garnished.

In order for me to have his paychecks garnished, I first have to wait the 30 days for the Judgement to pass, and then, if he didn't pay me, I would have to go to a City Marshall and pay them to have his checks garnished. They in turn, would add that fee (which I would pay) to the total being garnished. So, in effect, not only would he be paying me what he owed, but he would also be paying for the service of having his own paycheck garnished (America! What a Country! Gotta LUV it!!!).

Unfortunately, I never got that far with the Judgement. He decided that he wanted to appeal the Judgement decision, so we both had to appear back in Court in front of a Judge. Without hearing any of the details of the case, the Judge asked a few pertinent questions. He asked how much the current debt was, and we both stated $255. He then sent us out to appear in front of an Arbitrator, who in turn just drafted up a new payment schedule agreement. I really didn't want to agree to this, but since the ex was willing to cough up an additional $10 a month (which would mean the debt will be paid off 1 month sooner than originally agreed upon), I reluctantly agreed to it. Now, I have 4 post-dated checks (which he sent me) for the next 4 months, and then I can wash my hands of this SLIMEBALL for good (unless one of the checks bounce).

Sorry I went on this tangent from your situation, but I thought I'd let you know what it might be like if you have to take this to Court.... but like I said, I don't know how much different the Legal System is in Canada.

Not quite.
He was NOT rented the equipment. He was HIRED to do the gig by me. Not quite the same thing.
He did take it upon himself to help himself to the use of my equipment for this charity thing which I'm 99% sure he actually got paid for.
As for the process of small claims, it's pretty similar to what you described.
I'm VERY familiar with our court system and how it works including Small Claims, Family, and right on up to Supreme Court.
So much so, that I should just go take the bar exam and be done with it. My lawyer friend keeps bugging me to.....

Since it appears to be isappropriation, then you have grounds to sue. The next question is, is it worth it. Depending on the jurisdiction, along with the loss, you can claim the cost of filing and service of documents. The hardest part of the whole thing is collecting. if the person has no assets, money, or employment, well you can't get blood out of a stone. So you have to take everything into consideration. It may or may not be worth your time and hassle.

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You can be strange but not a stranger

As I stated, I am WELL aware of how the legal system works and I am more than well-acquainted with the ins and outs of it.
I know what grounds for suit are and whether they fit my case or not.
I know how to write up a writ and serve it as well as any other necessary papers including affidavits.
Again, as I stated above, I have the time, and I know what I have to do to collect once I get judgment.
I have already decided it was worth it. I thought that was obvious.
Why am I constantly having to repeat myself on this thread???
*sigh*