Demand Letter Cost

Clients Rate Lawyers on our Platform 4.9/5 Stars
based on 2,656 reviews

Jump to Section

Need help with a Demand Letter?

Post Project Now

What does a demand letter cost? Parties who are involved in a dispute often ask this question. Let’s explore costs associated with drafting and reviewing legal documents as well as some general information about demand letters.

How Much Does a Demand Letter Cost?

A demand letter is a formal legal document that is sent from one party to another party in an attempt to resolve a legal dispute. Demand letters are used to request action of the opposing party whether it is paying a debt or following through with a different type of contractual obligation. It is common to see demand letters used in breach of contract situations.

Demand letters are sent to a party as a last resort to settle a dispute before legal action is taken. For this reason, the party sending the demand letter typically hires a lawyer to draft the demand letter because if the demand is not met, they will need representation for pursuing a legal action.

Based on ContractsCounsel’s marketplace data, the average cost of a demand letter lawyer is $305.

Do Demand Letters Work?

Whether a demand letter resolves a dispute depends on the parties and the situation. A formal demand letter will show the opposing party that you are serious about the dispute and willing to take legal action. This could prompt the opposing party to rectify the grievance to avoid costly litigation.

On the other hand, if the opposing party believes that they have not done anything wrong, they may not comply with the demand letter. Instead, they will reply with a letter denying the claims.

If the opposing party denies the claims in the demand letter and refuses to make restitution, the sender of the demand letter can bring a lawsuit in court to settle the dispute.

What is Included in a Demand Letter?

Demand letters are almost always written by business lawyers and sent on behalf of a client. The contents of the letter will vary based on the dispute and the parties involved but most demand letters will include the following pertinent information:

  • The date and time of the grievance. The party sending the letter must inform the recipient the reason for the letter. Disputes are commonly over breaches of contractual obligations. The letter should detail the date, time, and circumstances under which the breach occurred.
  • The damages suffered. The sending party should clearly state how the actions of the recipient damaged them. Damages could be financial or related to the completion of a service.
  • A demand for restitution. The point of the demand letter is to give the recipient a chance to resolve the dispute. The sending party must clearly state what action they wish the recipient to take to rectify the situation.
  • A deadline to meet the demands. The deadline should be a reasonable amount of time for the recipient to meet the demands within the letter.
  • Applicable law. The attorney drafting the demand letter may incorporate applicable law that applies to the dispute. This will help the recipient understand why they are receiving the letter and warn them that there is most likely a valid case for a lawsuit should the recipient choose to not comply with the letter’s demands.
  • Consequences for not meeting the specified deadline. Most often, the consequences for not meeting the demands in the letter by the deadline is the filing of a lawsuit. A lawsuit will bring the dispute to court to be resolved by a judge or jury.

Demand Letter Projects

Demand Letter Drafting

A party who needs a demand letter will often hire an attorney to draft the letter. When the letter comes from a law firm rather than from an individual, it is more official. The recipient will know that the sending party is serious about their demands and prepared to take legal action. An attorneys will include pertinent laws that apply to the dispute to show the recipient that there is a valid legal claim.

Before drafting the demand letter, the lawyer will consult with their client to understand the details of the dispute and the kind of restitution the client is seeking.

After an initial draft, there may be more consultations to make any revisions and ensure that the demand letter includes everything that the party needs to be successful.

Demand Letter Review

In some cases, a party may want to draft their own demand letter. While there is nothing wrong with this, it is suggested to have a lawyer at least review the letter before it is sent to the opposing party.

If the letter isn’t professionally written or doesn’t contain all necessary information, it could be ineffective. If the case proceeds to trial, a demand letter can often be used to show the court that the party made good faith efforts to resolve the dispute. If the demand letter is unprofessional or missing information, it won’t be helpful in court.

You may also receive a demand letter from another party that you want a lawyer to review. Demand letters are fairly common in the course of every day business, so this comes up a lot.

Meet some lawyers on our platform

Sunnita B.

15 projects on CC
View Profile

Briana C.

39 projects on CC
View Profile

Jeremiah C.

37 projects on CC
View Profile

Tina R.

14 projects on CC
View Profile

Demand Letter Drafting Cost

Hiring a lawyer to draft a demand letter will incur fees because it requires the time of a licensed attorney to complete the task.

ContractsCounsel’s marketplace data shows the average demand letter costs to be $305 across all states and industries.

Demand Letter Review Cost

Lawyers typically charge less for reviewing documents then for an entire drafting project, but even reviewing a demand letter will incur legal fees. An attorney will take the time to consult with the party, review the letter, and make edits.

ContractsCounsel’s marketplace data shows the demand letter review cost to be $305 across all states and industries.

How Do Lawyers Charge for a Demand Letter?

The two most common ways that lawyers charge for their time are hourly rates or flat fee rates.

Hourly Rates for Demand Letters

When a lawyer uses an hourly rate fee structure, they set an hourly rate for their time and then charge a client each hour spent working on a project or case. The lawyer can also bill for any of their employee’s time spent on the project like associate lawyers or paralegals. Hourly fee agreements ensure that lawyers are compensated for all time spent working on a particular case.

ContractsCounsel’s marketplace data shows the average hourly rate for a contract lawyer range from $250 - $350 per hour.

Flat Fee Rates for Demand Letters

If a lawyer is hired for a specific project like drafting a demand letter, instead of billing hourly, they may just quote a flat fee rate. After reviewing the project, the lawyer will estimate the amount of time it will take then quote the client a flat rate to be paid upfront.

Flat fee rates usually only cover specific tasks like drafting documents and review. If the client wishes to have consultations, communications, or ongoing representation, the lawyer may charge more.

ContractsCounsel’s marketplace data shows the average flat fee rate for a demand letter to be $305.

Get Help with a Demand Letter

Do you need help with drafting a demand letter? If so, post a project in ContractsCounsel’s marketplace to receive flat fee bids from contract lawyers to handle your project. All lawyers on the ContractsCounsel’s platform are vetted by our team to make sure you are provided with top tier service.

How ContractsCounsel Works
Hiring a lawyer on ContractsCounsel is easy, transparent and affordable.
1. Post a Free Project
Complete our 4-step process to provide info on what you need done.
2. Get Bids to Review
Receive flat-fee bids from lawyers in our marketplace to compare.
3. Start Your Project
Securely pay to start working with the lawyer you select.

Meet some of our Lawyers

View Jose
Member Since:
February 13, 2021

Jose P.

Free Consultation
Get Free Proposal
San Antonio, Dallas
22 Yrs Experience
Licensed in TX
University of Pennsylvania

I am a corporate lawyer with expertise working with small businesses, venture capital and healthcare. Previously, I worked at large law firms, as well as head attorney for companies. I graduated from Harvard College and University of Pennsylvania Law School. I speak 5 languages (Spanish, French, Italian and Russian, plus English), visited over 60 countries, and used to compete in salsa dancing!

View Briana
Member Since:
February 15, 2021

Briana C.

Founder, Branch Legal LLC
Free Consultation
Get Free Proposal
10 Yrs Experience
Licensed in CA, MA, NY
Columbia University School of Law

Legal services cost too much, and are often of low quality. I have devoted my law practice to providing the best work at the most affordable price—in everything from defending small businesses against patent trolls to advising multinational corporations on regulatory compliance to steering couples through a divorce.

View Meghan
Member Since:
February 15, 2021

Meghan P.

Free Consultation
Get Free Proposal
4 Yrs Experience
Licensed in CA
University of Dayton

I am a licensed attorney and a member of the California Bar. I graduated from the University of Dayton School of Law's Program in Law and Technology. I love IP, tech transfers, licensing, and how the internet and developing technology is changing the legal landscape. I've interned at both corporations and boutique firms, and I've taken extensive specialized classes in intellectual property and technology law.

View Jo Ann
Member Since:
February 22, 2021

Jo Ann J.

Free Consultation
Get Free Proposal
Boston, MA
26 Yrs Experience
Licensed in MA
Suffolk Universtiy Law School

Jo Ann has been practicing for over 20 years, working primarily with high growth companies from inception through exit and all points in between. She is skilled in Mergers & Acquisitions, Contractual Agreements (including founders agreements, voting agreements, licensing agreements, terms of service, privacy policies, stockholder agreements, operating agreements, equity incentive plans, employment agreements, vendor agreements and other commercial agreements), Corporate Governance and Due Diligence.

View Charlotte
Member Since:
February 25, 2021

Charlotte L.

Self-Employed Legal Consultant
Free Consultation
Get Free Proposal
Arlington, VA
8 Yrs Experience
Licensed in DC, VA
University of Virginia School of Law

I hold a B.S. in Accounting and a B.A. in Philosophy from Virginia Tech (2009). I received my J.D. from the University of Virginia School of Law in 2012. I am an associate member of the Virginia Bar and an active member of the DC bar. Currently, I am working as a self-employed legal consultant and attorney. Primarily my clients are start-up companies for which I perform various types of legal work, including negotiating and drafting settlement, preparing operating agreements and partnership agreements, assisting in moving companies to incorporate in new states and setting up companies to become registered in a state, assisting with employment matters, drafting non-disclosure agreements, assisting with private placement offerings, and researching issues on intellectual property, local regulations, privacy laws, corporate governance, and many other facets of the law, as the need arises. I have previously practiced as an attorney at a small DC securities law firm and worked at Deloitte Financial Advisory Services LLC. My work experience is dynamic and includes many short-term and long term experience that span across areas such as maintaining my own blog, freelance writing, and dog walking. My diverse background has provided me with a stong skill set that can be easily adapted for new areas of work and indicates my ability to quickly learn for a wide array of clients.

View Don
Member Since:
March 1, 2021

Don G.

Attorney at law
Free Consultation
Get Free Proposal
Lafayette, LA
21 Yrs Experience
Licensed in TX
Texas Tech School of Law

Texas licensed attorney specializing for 20 years in Business and Contract law. My services include General Business Law Advisement; Contract Review and Drafting; Legal Research and Writing, including Motion Practice; Business Formation; Article or Instructive Writing; and more. For more insight into my skills and experience, please feel free to visit my LinkedIn profile or contact me with any questions.

View Jeremiah
Member Since:
March 5, 2021

Jeremiah C.

Partner/Attorney at Law
Free Consultation
Get Free Proposal
Houston, TX
14 Yrs Experience
Licensed in NV, TX
Thomas Jefferson

Creative, results driven business & technology executive with 24 years of experience (13+ as a business/corporate lawyer). A problem solver with a passion for business, technology, and law. I bring a thorough understanding of the intersection of the law and business needs to any endeavor, having founded multiple startups myself with successful exits. I provide professional business and legal consulting. Throughout my career I've represented a number large corporations (including some of the top Fortune 500 companies) but the vast majority of my clients these days are startups and small businesses. Having represented hundreds of successful crowdfunded startups, I'm one of the most well known attorneys for startups seeking CF funds. My engagements often include legal consultation & advisory roles, drafting of NDAs, TOS & Privacy Policies, contracts and corporate law, business strategy advice & consulting, in-house counsel, Founder & entrepreneur guidance and other roles as needed by my clients. I hold a Juris Doctor degree with a focus on Business/Corporate Law, a Master of Business Administration degree in Entrepreneurship, A Master of Education degree and dual Bachelor of Science degrees. I look forward to working with any parties that have a need for my skill sets.

View Adam
Member Since:
March 5, 2021

Adam B.

Managing Partner
Free Consultation
Get Free Proposal
San Mateo, California
24 Yrs Experience
Licensed in CA
McGeorge School of Law

Seasoned technology lawyer with 22+ years of experience working with the hottest start-ups through IPO and Fortune 50. My focus is primarily technology transactions with an emphasis on SaaS and Privacy, but I also provide GC services for more active clients.

View Benjamin
Member Since:
March 11, 2021

Benjamin W.

Free Consultation
Get Free Proposal
Los Angeles, CA
7 Yrs Experience
Licensed in CA
UCLA School of Law

I am a California-barred attorney specializing in business contracting needs. My areas of expertise include contract law, corporate formation, employment law, including independent contractor compliance, regulatory compliance and licensing, and general corporate law. I truly enjoy getting to know my clients, whether they are big businesses, small start-ups looking to launch, or individuals needing legal guidance. Some of my recent projects include: -drafting business purchase and sale agreements -drafting independent contractor agreements -creating influencer agreements -creating compliance policies and procedures for businesses in highly regulated industries -drafting service contracts -advising on CA legality of hiring gig workers including effects of Prop 22 and AB5 -forming LLCs -drafting terms of service and privacy policies -reviewing employment contracts I received my JD from UCLA School of Law and have been practicing for over five years in this area. I’m an avid reader and writer and believe those skills have served me well in my practice. I also complete continuing education courses regularly to ensure I am up-to-date on best practices for my clients. I pride myself on providing useful and accurate legal advice without complex and confusing jargon. I look forward to learning about your specific needs and helping you to accomplish your goals. Please reach out to learn more about my process and see if we are a good fit!

View Ema
Member Since:
March 12, 2021

Ema T.

Contract and IP Attorney
Free Consultation
Get Free Proposal
New York, NY
4 Yrs Experience
Licensed in NY
Chicago Kent

I am a NY licensed attorney experienced in business contracts, agreements, waivers and more, corporate law, and trademark registration. My office is a sole member Law firm therefore, I Take pride in giving every client my direct attention and focus. I focus on getting the job done fast while maintaining high standards.

View David
Member Since:
April 1, 2021

David B.

Free Consultation
Get Free Proposal
Trussville, Alabama
26 Yrs Experience
Licensed in AL
Birmingham School of Law

A twenty-five year attorney and certified mediator native to the Birmingham, Alabama area.

Find the best lawyer for your project

Browse Lawyers Now

Want to speak to someone?

Get in touch below and we will schedule a time to connect!

Request a call