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a demand letter from attorney serves to notify an individual that she or he must settle a matter before legal action is taken the letter is drafted and sent by an attorney who is representing a client in the matter and its often used to demand payment and correction of contract violations in this video well review essential information about demand letters from attorneys as well as where to get an official free template first lets look at the importance of a demand letter demand letters can be sent by any individual who is experiencing a legal dispute with another party these letters often demand payment request an item to be returned or demand legal action of all sorts sending a letter documents the demand in writing provides an explanation on why the demand is being made informs the recipient of a deadline to settle the dispute warns the receiving party of possible legal action if not settled and records the demand in case the matter escalates to court and is needed as evidence us