Sample of a Settlement Demand Letter

Signing Contract

A settlement demand letter is a formal letter written to an individual, company or firm in a bid to settle a legal dispute. Here the injured party outlines his or her desire to settle the case out of court by quoting the amount suffered in damages.

While writing this letter simply make sure that you keep your content concise while your tone is professional and formal.

Sample of a Settlement Demand Letter

January 12, 2013

State Bacon Insurance
Attn:  Alison Ivy
Denver Claims
P.O Box 2221

Re: Our client: Mr. Ridley Jacobs
Date of Loss: Jan 1, 2012
Claim no: 234332
Your Insured: Envy

Dr Ms. Alison,

On behalf of our client, Mr. Ridley Jacobs, we are writing this letter, hoping to reach an adequate and quick settlement in the above referenced case, where our client suffered multiple injuries and is entitled to compensatory damages.

The incident occurred on the Main Boulevard Avenue on January 1, when Mr. Jacobs was returning home from work on his Mercedes (black, model 2007). At the stop signal, his car was struck by another car, driven by your client, Mrs. Envy, from the rear, resulting in head and chest injuries to Mr. Jacobs. It had been further reported that Mrs. Envy’s vehicle – Mazda 9872 – was over the usual speed limit.

Mr. Jacob’s car suffered severe damage, which will be covered by his insurance plan. For your information, we have enclosed the preliminary analysis of the insurance company with this letter.

Following the incident, my client sought medical treatment from Heath Care Hospital, with the total amount adding up to $7420. Mr. Jacob was prescribed a week’s rest, and was further instructed to follow therapy, the details of which I have attached. The incident also forced my client to miss important time at work. We have attached a sealed document with this letter, which specifies the amount our client wishes to claim in damages. We believe his demand is fair, given the negligence on part of your client. If we decide to pursue the case in the small claims court however, both parties will be wasting valuable time and resources.

We will be looking forward to a positive response from your end. Please respond to this letter within a week so we can decide on our future course of action.

Yours Truly,

James Reef

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