Insights & News

Letter of Demand: Revisited

Introduction

The Letter of Demand is an age old initial legal document that notifies one that another is unhappy with a particular situation, and desires to initiate and escalate matters with regard to due process. It is traditionally an act which invokes the rule of law in what would be otherwise an unhappy situation.

Here are some tips from us to you about this demand:

1. Make sure you get your numbers or specific unhappiness collated and organised (a statement of accounts should be prepared);

2. Ensure that you have attempted in writing to engage the respondent. You should be able to show that the respondent is non-responsive and/or unwilling to settle the claim. More than one written attempt should be evident;

3. A chronology of events should also be prepared in advance to help third parties (such as lawyers) understand your unhappiness.(The chronology will also assist the lawyer to understand your claim better – we need to establish a basic cause of action); and,

4. Finally, consider the eventuality that the letter of demand not be able to invoke payment and a suitable response. The lawyer will want to know if you wish to escalate the matter further with formal proceedings in Court. This will guide the lawyer in advising on you on the proper course of action and any related costs.

We hope the above gives you a better understanding about the traditional Letter of Demand.

 

*Prepared in collaboration with Bryan Yeo, Solicitor, Supreme Court of Victoria, Australia.
Montague Choy

Montague Choy

Director & Founding Partner

Montague (“Monty”) Choy is a founding partner and director of Imperial Law LLC. He specialises in private client matters, corporate and commercial law issues.

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