Although a demand letter is not a required prerequisite to a lawsuit under California law, courts tend to have a more favorable view of parties that make good faith efforts to resolve disputes prior to formal legal action in court.
Here's a short list of what you'll want to include: Facts of the case. An outline of what happened. Statement of the issue. A brief description of the problem. Demand. The dollar amount or action necessary to resolve the case. Response deadline. The date by which the recipient must respond. Noncompliance consequences.
Frequently Asked Questions (FAQ) Type your letter. Concisely review the main facts. Be polite. Write with your goal in mind. Ask for exactly what you want. Set a deadline. End the letter by stating you will promptly pursue legal remedies if the other party does not meet your demand. Make and keep copies.
You start a lawsuit by filing a complaint. In some circumstances, you file a petition or a motion. The court has several complaint forms that you may use in drafting your complaint. The forms are available online and at the Pro Se Intake Unit.
A demand letter shows the other party you are serious about taking legal action to remedy the dispute. Simply sending the demand letter may end the need for further litigation. ing to NOLO, "In as many as one-third of all disputes, your demand letter will catalyze settlement".
If you are: a person (this includes sole-proprietors) you may claim up to $12,500; if you are a Corporation, limited liability company or partnership, you may claim up to $6,250.
Generally, you can only sue for up to $12,500 in small claims court (or up to $6,250 if you're a business). You can ask a lawyer for advice before you go to court, but you can't have one with you in court.
Conclusion: Going to small claims court may be worth it for $500, but it will determine how you weigh your costs versus benefits. At a minimum, it is worth it to send a demand letter.
If you are: a person (this includes sole-proprietors) you may claim up to $12,500; if you are a Corporation, limited liability company or partnership, you may claim up to $6,250.
For California small claims, you don't have to “serve” a demand letter. You just have to send the demand letter. You can send it by mail, email, or hand delivery, or you can text the demand letter.