Drafting a Demand Letter

DEMAND LETTER

A demand letter is a formal notice demanding that the addressee perform a legal obligation on specified terms and within a specified time.

The demand letter usually gives the recipient a chance to perform the legal obligation without being taken to Court.

It is sent before the commencement of a suit it serves to inform the adversary of the pending claim.

The purpose of a demand letter and any other notices prior to commencement of a suit is to afford both parties an opportunity to avoid embarking on unnecessary litigation or incurring any additional costs.

Where it is excluded, a party may not be able to claim for costs in the suit.

A demand letter is provided for in Order 3 Rule 2 of the Civil Procedure Code.

A demand letter should be signed by an Advocate meaning that it cannot be drawn by an unqualified person.

Contents of a Demand Letter.

• A date, recipient’s contact information
• The authority to act for the claimant
• The summary of the matter in issue
• A demand for a specified relief
• A deadline by which the matter must be settled
• Consequences of non-adherence to the demand of claim.
  

 

GENERAL FORMAT:

1. Letter head of the firm (optional)

2. Our REF - YOUR REF

3. Address of the Defendant

4. Date

5. Dear Sir/Madame

6. Subject Matter: RE (to be precise and concise)

7. Introduction: 

a) authority to act from clients instructions

b) Facts

c) cause of action arising from the facts

8. Demand for relief/remedy

9. Ask for liability to be admitted

10. Specify time within which you seek compliance (7 days within Nbi, 10 daysoutside)

11. Consequences for non adherence to time line

12. Authenticate letter

13. CC. Client

(acronym:LOAD DS IDA SCAC) - you can make your own