It can be very frustrating when someone owes you money and refuses to pay it. You may have completed a construction project for a homeowner who now claims the service was not good enough. A negligent driver may have injured you and now refuses to pay your medical bills. Regardless of why someone owes you money, if they refuse to pay, the best step you can take to increase your likelihood of collecting the debt is to deliver a formal demand letter to the non-paying party. Here at the Smiley Law Firm we send demand letters on a regular basis to ensure that debtors properly pay our clients for the work they performed or the injuries they sustained.
Sending a demand letter for payment from Smiley Law Firm is affordable and easy. You provide us the information, and we will promptly send the demand letter to the non-paying party. If the demand letter does not motivate the party to pay promptly, one of our experienced contract attorneys can discuss your remaining options to collect on the unpaid debt. We do it all for one flat fee.
What Is a Demand Letter for Payment?
A demand letter for payment is a formal document that states the party owes you a debt and requests that they promptly pay you. Demand letters may have different content and may vary in length. Some jurisdictions require that you send a demand letter for payment before you can proceed with more formal options, such as filing a lawsuit against the non-paying party.
Why Should I Send a Letter?
In Louisiana and many other states, it can be costly and time-consuming to chase down the party that owes your company money. They may avoid your calls, give you incorrect information and refuse to pay.
A demand letter is often necessary if you want to take additional steps to collect the debt, such as filing a lawsuit or partaking in other formal collection efforts. A settlement demand notice in Louisiana and other states is also helpful in letting the debtor know that he or she has the option of paying without a formal lawsuit.
Most debtors want to avoid costly court battles. Often, when a creditor sends a demand letter, payment quickly follows.
The formal letter is also good for tracking and keeping a paper trail of the debt. Many times, people will call, text or email about payment problems. The formal letter looks much better in court and can easily show that you tried to collect on the debt but were unsuccessful.
Why Should I Send a Legal Demand Letter?
Although a notice demanding payment is a powerful collection tool, a formal document from an attorney carries a lot more weight. An official document holds weight in any court proceeding that you may have to implement if the party continues not to pay. By choosing a reputable firm in New Orleans to handle this collection task, a professional can deliver proper notice to the recipient that complies with the relevant laws. Additionally, your official demand notice will include legal information such as the collection of attorney fees and court costs.
Sending a demand letter for payment is an effective way to ensure you receive compensation for your hard work. If someone owes you money and refuses to pay, a demand letter can help you to quickly recover the money. Demand letters in Louisiana are a powerful way to show that you are serious about collecting the money that the non-paying party owes you, and they are often the only remedy you need to collect a debt.
Other benefits of sending a demand letter for payment include:
· It helps summarize your case by detailing the job and the facts at issue in your case.
· It promotes settlement and gives the non-paying party a final opportunity to make things right without litigation.
· There may be laws that require you to send a demand for payment prior to litigation.
· It best preserves your remedies (i.e. starts the clock for charging interest).
· It may qualify you for extra remedies (i.e. to collect penalties or attorney fees).
You do not have to pay high retainers and legal fees for an effective legal demand letter. Smiley Law Firm can create an impressive legal demand letter that you can send immediately for best results. We draft demand letters daily for our construction, business and injury clients. We frequently send demand letters for payment because we know they are powerful and effective. We can send one for you, too.
Can I Send a Demand Letter for Payment without a Lawyer?
Although anyone can send their own demand letter for payment, there are clear advantages to having a firm like Smiley Law Firm send your demand letter:
- Demand from an attorney will carry more weight than an informal letter.
- A legal professional can write the letter in a manner that takes advantage of laws providing for collection of extra remedies (attorney fees, interest, penalties, etc.)
- A legal professional can keep a record of this communication and prove that you delivered it.
- We can send the demand letter to multiple parties to ensure the party owing you money receives it.
You may think it is too expensive or cumbersome to hire an attorney to send demand letters for you. Some law firms may require you to place large retainers or spend more than you really need. Here at Smiley Law Firm, we have payment plans to fit any budget and work on a flat fee. Contact us today to find out more about the comprehensive legal services we offer.
What Should I Include in My Demand Letter for Payment?
Effective demand letters for payment include the following:
· Statement of facts – Your demand letter for payment should state the basic facts of your case. It should include a summary of the work you performed and what your agreement was. State your collection efforts up to this point in time, such as past attempts to call the non-paying party and previous messages you sent regarding non-payment. This letter can be a powerful tool that a judge or jury reads at a later trial, so it is important to provide clear and objective facts.
· A figure – State clearly how much money you believe the non-paying party owes you and how much you expect to receive. Additionally, explain how you arrived at this figure, such as including the original amount the debtor owes you along with additional expenses you incurred for legal fees, certified mail or other collection attempts.
· A due date – Give a definite timeline on when the other party must pay you to avoid further enforcement action.
· Payment remittance information – The demand letter should also clearly state where and how the party should pay you, such as listing the name and contact information for your attorney.
· Polite language – Your demand letter for payment should be professional. While it should outline the alternatives if the non-paying party does not pay you, it should not include combative or threatening language. At the Smiley Law Firm, we provide professional yet firm demand letters that detail the potential risks of continued non-payment, such as litigation costs and the time that a non-paying party is likely to lose by not paying you the fair amount that it owes you.
Get Your Demand Letter for Payment and Get Paid
Below, you will find easy instructions on how to get your demand letter (and collect your debt!) fast.
When a party refuses to pay you money that you rightly deserve, the process can be frustrating. Demand letters for payment help you get paid fast for the work that you completed or for the damages that you sustained. They also protect your legal rights and support your claim.
If you are looking for a settlement demand, do not waste time and money chasing your debtor. Instead, contact Smiley Law Firm to get the help that you need at minimal cost and effort. Debtors often pay quickly after receiving a formal demand letter from Smiley Law Firm. Our team can help you end your payment nightmare and get the money you deserve today.