An Introduction to Letters of Demand

A letter of demand (LOD) is a formal letter that lists out a set of demands for the recipient to comply with. A letter of demand is usually sent by a lawyer on behalf of their clients and will often threaten additional legal action if the demands of the letter are not satisfied within a stated period of time.

A letter of demand can be sent for many purposes, not just the recovery of money. Below is some common examples:

1. Requesting the payment of an overdue invoice.
2. Requesting the re-payment of money that was loaned to the debtor.
3. Removal of defamatory content, for example on social media or a website.
4. Requesting the publication of a formal apology, for example, a retraction and apology in a newspaper or website.
5. Removal of an image from social media or another source.
6. To stop harassment or nuisance, including debt collectors, competitors, neighbors, etc
7. To communicate a cease and desist that requests the adverse party to stop doing something. For example stealing and using your website content, infringing on your copyright etc

A letter of demand will usually contain the following types of information:

• The identity of the individual or organisation making the claim
• The identity of the lawyer and/or firm that is acting for the claimant and their contact details
• The matter in dispute and the material facts
• The claims that are put forward against the recipient of the demand letter
• The list of demands being made to satisfy the claimant
• The timeline by which the recipient must respond or satisfy the claimants demands

Yes, anyone can technically write and send a demand letter. There are many advantages to leveraging a law firm for this service, these include:

• A letter of demand is not necessarily an expensive undertaking, it may be a small price to pay relative to the cost of not getting the response you're looking for.
• A law firm is not emotionally attached to your situation and allows them to review the facts and recommend the most appropriate next steps.
• Law firms have significant experience in drafting effective letters of demand, negating any time and effort required on your part to research and create your own demand letter.
• The issuance of a demand letter from a law firm will include the law firms their letterhead. It demonstrates to the debtor that you have hired a professional third party to take up action, and this will give your demands more weight.