A letter of demand is often the first step in recovering an unpaid debt or seeking payment of money owed. In many cases, sending a clear and professional letter of demand yourself can be an effective first step. If payment is not made, you may then wish to seek legal advice or engage a lawyer to prepare a formal letter of demand tailored to your circumstances.
This template is intended for straightforward claims where the amount owed and the basis of the claim are relatively clear. It is not a substitute for legal advice and may not be suitable where liability is disputed, multiple parties are involved, insolvency issues arise, or the claim involves complex contractual or legal issues.
Before using the template:
- Insert your own details where indicated.
- Attach any relevant invoices or supporting documents.
- Keep a copy of the letter and proof of delivery.
- Allow a reasonable timeframe for a response.
Letter of Demand Template
Copy and paste the template below into a Word document and replace the placeholder text with your own information.
[Your Name]
[Your Address]
[Date]
To: [Recipient Name]
LETTER OF DEMAND
Dear [Recipient],
I write regarding [brief description of dispute].
It is my position that you owe me $[amount] arising from [invoice, agreement, loan, services provided or other basis of claim].
Despite previous requests, the amount remains outstanding.
Accordingly, I request that by no later than [date] you:
- pay the sum of $[amount]; or
- provide a written response setting out the reasons why you dispute liability for the amount claimed.
Payment may be made to the following account:
Account Name: [insert details]
BSB: [insert details]
Account Number: [insert details]
If you dispute this claim, please provide a substantive written response, together with any supporting documents, by the above date.
If payment is not received, or a satisfactory response is not provided by that date, I will consider commencing legal proceedings without further notice.
Should legal proceedings become necessary, I will seek to recover the amount claimed together with any applicable interest and any legal costs recoverable by law.
Yours faithfully,
[Your Name]
