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How to write a demand letter for money to a company, business partner, or other party who owes you money. |
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The Law
Office Of Daniel Bakondi, A Professional Law Corporation Please
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Are you looking for sample demand letters or template demand letters to help you write a demand letter? Mr. Bakondi does not reccomend using a template demand letter, but to follow these basic steps: (However, please note, nothing herein constitutes legal advice nor reliable advice nor complete advice. Always hire a qualified attorney.) How can you get money from a demand letter? What kind of demand letters get paid money? 1. Know whether you have a legitimate claim! Sometimes you cannot know unless you contact an attorney to assess the legal issues that underly your facts. 2. Were you damaged in some way? You need to assess whether you were damaged in some way. Did you receive an injury, whether personal or financial? Did you lose money or suffer some harm as a result of something a person or business did? Is this a result of a breach of an agreement with you, or misleading you, or doing something that the other party should not have done that harmed you? 3. What are your damages? You need to be able to calculate and prove the exact amount that you were legally injured. If someone breached a contract with you to build a house for $100,000, but you found someone else to build the house for $150,000, your legal damages may be $50,000. If someone made a promise to repay you a loan, the amount of damages may be the amount they owe. If you made an investment, and you want to demand your money back, it may be complicated to calculate your damages, and you may need to speak to an attorney like Mr. Bakondi to help you assess the exact amount of your loss. 4. Who owes you? You need to assess who is the liable party or parties. It may not be easy to know this initially without understanding legal causes of action, and other legal principals. If an employee of a company did something wrong, the company may be liable. Does this party have money of the ability to pay? 5. How to present your demand. You must present your demand in an organized and professional fashion. The first sentence should be introducing you and your relationship to the other party. The next paragraph should be a summary of why you are owed money. The next should be a proper legal calculation of exactly how much you are owed. 6. Make it inadmissible in court. I generally recommend making demand letters inadmissible as evidence, although sometimes this is not the best way to proceed. You should hire an attorney like Mr. Bakondi to help you assess when you should make settlement offers, demands, and other communications inadmissible. Remember, nothing is fool-proof, and your letter may wind up in front of a judge or jury one day. This is the case in California if the demand is part of settlement negotiations. You should write at the top “IMADMISSIBLE SETTLEMENT NEGOTIATIONS PURSUANT TO CALIFORNIA EVIDENCE CODE SECTION 1152 AND OTHERS” and “CONFIDENTIAL and PERSONAL.” (Please note – this is for California only, and even in California, this is not legal advice, it is not complete information, and you cannot rely on this. You should always hire an attorney to advise you properly regarding legal issues.) 7. Make it a deal worth taking. If you demand a million dollars when you do not have a legitimate case, you should not be surprised if you do not get a favorable response. In some cases, you may consider asking for a little less than you are entitled to in some cases and when appropriate, so you give the other side motivation to pay rather than go to court. However, when you have a firm case, you may want to ask for the full amount, so as to not weaken the appearance of your case. This is also often a decision best left to attorneys. 8. Get to the real issues. If someone has not paid because they cannot afford to pay you all at once, maybe consider working out a payment arrangement. Maybe there is a dispute as to a certain set of facts, or the interpretation of a contract or your obligations. Isolate those issues. Sometimes you can break it out, and say, “if I am wrong, you owe me $50,000, and if I am correct, you owe me $70,000. So, let’s agree to settle for $60,000.” 9. Do not delay. The law limits the time in which you have to enforce your rights in court. 10. Hire an attorney Nothing gets attention and seriousness like a demand from an attorney. People may not be happy to receive your letter, but it is much harder to ignore a letter form an attorney who litigates in court such issues, and is willing to sue you if you do not resolve the issue. Where can I get help writing a demand letter to a company, business, person, or other party? Attorney Daniel Bakondi offers assistance in writing certtain demand letters, and is a practicing litigation attorney. If you believe you have a strong case, and would like assistance on writing a demand letter, or to hire an attorney to do it, please email Mr. Bakondi at the address below, and please describe your facts per the points above. Contact by email danielbakondi@yahoo.com No attorney-client relationship is created by sending an email. For more information, please view our disclaimer: IMPORTANT:
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