My nephew gave me a patio table and chair set that HIS father gave him... The table and chairs could not fit on his deck of his apartment that he was renting from me. He gave me the set and I accepted with great appreciation, I had the set in my yard for 2yrs where I entertained lots of company. Now that my nephew has moved he went in my yard when I was on vacation and took the set back. When I came home and discovered this I called him, and he said "I never gave it to you and It's my fathers and he has the reciepts." He claims he was just being nice and letting me use it.. I had a falling out with his father before this, so I feel it was taken on spite. Is this considered stealing and do I have a chance of recovering the property in small claims court?

If you can PROVE he gave it to you, take him to Small Claims Court. You will get the value of the furniture on the day he took it - if you win. It appears to be a relatively old, used set and I have no idea what it's worth.

Did you file a Police Report over the theft? Only the Police can determine if this is stealing. What did they say?

Small Claims Court will not punish him other than - if he loses - forcing him to pay you.