Demand Letter Template: Payment Request, Deadline, Facts & Next Steps

To: [Recipient's Full Name / Company Name]

[Your Address]

[City, State, ZIP Code]

Subject: Formal Demand for Payment

Dear [Recipient's Full Name / Company Name],

This letter serves as a formal demand regarding the matter of [briefly describe the issue — e.g., an unpaid invoice, breach of agreement, or failure to return equipment].

1. Description of Obligation

On [Date], we entered into an agreement in which you agreed to [describe the nature of the agreement or obligation]. To date, you have failed to [e.g., make payment, return items, fulfill duties], despite prior reminders and communication.

2. Amount or Action Demanded

You currently owe:

• Amount Due: Templates.demand-letter.preview.amountPlaceholder
• Description of Basis: [e.g., unpaid invoice #123, dated MM/DD/YYYY]

3. Deadline to Resolve

We request that this matter be resolved no later than [Insert Deadline – e.g., 10 business days] business days from the date of this letter. Failure to respond or comply within this timeframe will leave us with no choice but to consider further legal action, including but not limited to filing a lawsuit, engaging a collection agency, or seeking damages in court.

4. Preferred Method of Resolution

You may resolve this matter by:

5. Contact Information

Should you wish to discuss this matter or require clarification, please contact me directly at [Phone Number] or [Email Address].

We hope to resolve this dispute amicably and without further action. This letter is sent in good faith and with the intention of avoiding unnecessary litigation.

Sincerely,