A demand letter is a formal written notice demanding that the recipient take a specific action — typically pay money owed or remedy a breach — within a specified timeframe, failing which you will pursue legal remedies. In the US, demand letters are commonly used before filing in small claims court, commencing arbitration, or filing a civil lawsuit. They create a paper trail and give the other party a final opportunity to resolve the matter without litigation.

No. Anyone can send a demand letter. However, letters sent by attorneys on law firm letterhead often carry more weight because the recipient knows litigation is imminent and professionally organised. For smaller claims (typically under your state's small claims limit), a well-written letter from you personally is often sufficient and avoids the cost of hiring an attorney.

A demand letter should include: a clear description of the facts giving rise to the claim, the legal basis for the claim (breach of contract, negligence, consumer protection statute, etc.), the specific amount being demanded, a clear deadline for response or payment (typically 14-30 days), a statement of what you intend to do if the demand is not met (file a lawsuit, report to regulators, etc.), and your contact information. LetterDeck structures all of these elements automatically.

In most cases, a demand letter is not legally required before filing a lawsuit. However, some state consumer protection statutes require pre-suit notice (for example, Texas and California have notice requirements for certain consumer claims). Some contracts also require formal notice before litigation. Even where not required, sending a demand letter is good practice — courts look favourably on parties who attempted to resolve disputes before litigating, and it can help you recover attorney fees in some cases.