Attorney Demand Letters- What You Need to Know

Facing a legal problem with an individual or a business and considering sending an attorney demand letter? While it’s not required that an attorney write a demand letter for you, sometimes it’s a good idea. In this article, we review what you need to know about hiring an attorney to write a demand letter. 

If you have a legal problem, start by sending a formal letter to the other party to try resolving it directly. This formal letter is called a demand letter. A demand letter outlines the legal problem and requests that the other party make things right or face the consequences, like getting sued in court.  A demand letter is one of the best ways to solve a problem without going to court. 

An attorney demand letter is a demand letter that is written, signed, and sent by an attorney on their law firm letterhead.   

If you cannot find an attorney to write a demand letter for you, we have a free tool created by attorneys and engineers that helps you create a demand letter. Check out our demand letter tool. 

If the case is complicated or you want to increase your chances of being taken seriously you may want to have an attorney write and send a demand letter for you.  For instance:

1. If your case is complicated, a lawyer can help you understand the law and avoid mistakes. For example, if you were in a car accident and got hurt, talking to a personal injury lawyer before sending a demand letter on your own might be a good idea because personal injury law can be tricky.

2. If you want the other party to take you seriously, a letter from a lawyer may be more effective. The other party may also take you more seriously because they will know that you have spent time and money hiring a lawyer implying you are serious about the issue and will continue pursuing resolving the issue. 

3. If an attorney signs the demand letter, the other side is more likely to think that a lawsuit will be filed if the issue isn’t resolved with the demand letter because an attorney has already been hired.

Reddit threads have many anecdotal experiences showing users who found that generally, demand letters that come from an attorney are taken more seriously than ones written by individuals.  As one Reddit user mentioned, when a demand letter comes from an attorney “it may carry more of a ‘scariness’ factor.”

In certain situations, you may want to write your own demand letter than having an attorney write a demand letter for you: 

1. If the amount owed is small, hiring a lawyer to write the demand letter may cost you more than what the other party owes you.

2. If you aren’t ready to escalate the issue and come off threatening, involving an attorney may do more harm than good. For example, if you believe there is an opportunity for an amicable resolution, going with a lawyer may sour the relationship. If an amicable resolution does not work, you can always escalate with an attorney demand letter at a later time.

If you decide to write a demand letter on your own, here is a guide on how to write a demand letter. 

We have a free tool created by attorneys and engineers that helps you create a demand letter. Check out our demand letter tool. 

Here are some of the most common situations where lawyers send demand letters:

1. After a car accident, there are many letters a car accident lawyer may send. For example, they may send a demand letter to the insurance company whether it be your insurance company or the other driver’s insurance company. Please note, if you weren't injured, it may be hard to find a lawyer to write a demand letter for the cost of fixing your car to the registered owner and driver as most car accident lawyers are looking for the personal injury aspect of the case since they can make more money

2. If you are a business owner and your clients refuse to pay their invoices, an attorney will send a demand letter for payment.

3. If your landlord doesn’t return your security deposit, a landlord-tenant lawyer will send a security deposit demand letter.

4. If someone breaks a contract with you, a lawyer will send a breach of contract demand letter.

5. If you lent someone money and they didn't pay you back, a lawyer will send a demand letter for money owed.

6. If you hired a contractor and they didn’t properly perform the work, an attorney will send a demand letter for a refund from the contractor.

7. If you took your car to a mechanic and they negligently fixed your car, a lawyer would write a demand letter to the mechanic shop requesting reimbursement.

8. If your neighbor’s pipes burst and caused damage to your home, a lawyer will send a property damage demand letter.

9. If you consistently have robocalls, a consumer protection lawyer will send a robocall demand letter.

It varies greatly what a lawyer will charge you to write and send a demand letter on your behalf. I have seen attorneys charge anywhere from $0 to $3,000 for a demand letter. 

Some factors that will go into how much a lawyer will charge you for a demand letter: 

• Certain lawyers won't charge you for a demand letter. For example, most personal injury lawyers charge “on a contingency” which means they take a percentage of whatever the other party pays you. As part of their representation, they will likely write and send a demand letter on your behalf. Depending on the type of case you have, a lawyer may charge on a contingency. The most common attorneys that charge “on a contingency” are personal injury (for example, if you were injured after a car accident, dog bite, or slip and fall), class actions, and worker’s compensation. 

• How complex your case is. For example, if you have a unique case, the attorney may need to spend time researching the law surrounding your case and may want to charge you hourly to write a demand letter. 

• How specialized your lawyer is. Most lawyers specialize in a particular area of the law like landlord/tenant, employment, or personal injury. The more specialized the lawyer, the more likely they have written a similar demand letter in the past and may decide to charge you less.

• How large the law firm is. Sometimes you will be able to get a better price from a lawyer who works on their own than a larger law firm. 

• How much the lawyer expects to gain from the rest of your case. Many lawyers may choose not to sell a demand letter “a la carte” meaning that they expect you to hire them for the entire duration of the dispute. In this case, the lawyer may expect that you pay them a “retainer” which they will deduct from as they work hourly on your case.

Here is a Quora thread that expands on how much lawyers charge for demand letters. 

Finding an attorney to write a demand letter is difficult.

Here are some important points to consider when looking for an attorney to write a demand letter: 

• “Demand Letter attorneys” don’t exist. Attorneys don’t specialize in writing demand letters as their only source of business. Instead, attorneys tend to specialize in a certain area of the law like personal injury, employment law, or transactional law. Searching “demand letter attorney” on Google may not work for you as you need to first determine what type of case you have and search by the type of attorney you are looking for. 

• The amount at stake. How much money is owed to you? As you call different attorneys to get help with a demand letter, you may find you are not getting called back if the amount you are owed is less than what the attorney expects to be paid. For example, if you are looking for an attorney to write a demand letter to your landlord that won’t return your $1,000 security deposit, it will be difficult as an attorney knows you are unlikely to pay them $1,000 to write the letter. 

• Many attorneys work on a retainer. This one is related to both of the previous points in this section. As I have already mentioned, many lawyers choose not to sell a demand letter “a la carte” meaning that they expect you to hire them for the entire duration of the dispute. In this case, the lawyer may expect that you pay them a “retainer” which they will deduct from as they work hourly on your case.

If you cannot find an attorney to write a demand letter for you, here is a guide on how to write a demand letter. 

Most would argue that a demand letter, whether written by an attorney or not, will be taken much more seriously depending on several factors: 

• If you have a strong legal claim and the evidence to back it up, then your demand letter will be taken more seriously.

• If your claim could hurt the company's reputation, they are more likely to respond. 

• Depending on the state you are filing a lawsuit in, you may be required to demand payment from the other party before filing.

• A demand letter can help you better organize your case.

• A demand letter signals to the other party that you are serious about the dispute and willing to take action to resolve the problem. 

• Sending a written demand letter assures you there is a record of your attempt to settle.  

• The most important reason to send a demand letter is that it may lead to a settlement without having to go to court. 

An attorney will likely include the following in the demand letter: 

• Their contact information. The other party needs to have a way they can reach your attorney in case they would like to discuss the matter further. 

• A concise statement of how much money you are owed. For example, if you are a business owner and your client owes you $5,000 for services rendered, the attorney would state that you are owed $5,000 and expect payment for $5,000.

• The most important facts. The “who, what, where, and when” of your dispute. For example, if you have a problem with an auto repair shop for damages to your car the attorney will include which employee worked on your car, the damages to your car, the date you took your car to the auto repair shop, what was wrong with your car before and after you took it to the auto repair shop, etc. 

• A settlement offer. The attorney will ask you what you are willing to accept in return for dropping the problem. You can decide that you would like the full amount you are owed or a slightly lower amount. The attorney may include this information in the demand letter. 

• A deadline. The attorney will likely provide a deadline to respond or take action and state that if they do not respond within that time, further legal action will be taken. 

• Evidence. For example, if you are sending a demand letter to your client for outstanding payments, the attorney may attach any outstanding invoices. 

If you cannot find an attorney to write a demand letter for you, we have a free tool created by attorneys and engineers that helps you create a demand letter. Check out our demand letter tool.