ransom_note_99

The Threat of an Attorney Demand Letter

Don’t panic. One of the great things about being an attorney is that for those inexperienced with them, people listen to your correspondence. For those in the business, this wears off pretty quickly. For some, the scariest thing sometimes is to get a demand letter from an attorney.

First thing to do – do not panic. The most valuable way to assess this letter is to do so without emotion as this correspondence is designed to intimidate, anger, and set forth a position that you will probably not like. Before overreacting, consider some of these factors.

  • If the facts are “all wrong,” realize that the attorney sent the demand usually with facts only from a single perspective of her client.
  • The common purpose of a demand letter is to settle the matter before litigation–try to look at it in the same fashion.
  • The settlement offer, if any, is structured so that the sending party leaves herself a bargaining position, so as to not appear weak.
  • Take legal theories argued in a demand letter with careful consideration, but understand that the attorney is free to allege all kinds of legal theories without much scrutiny within a mere letter.

Depending on the severity of the allegation(s) you’ll likely need to engage counsel to respond to any such demand letter, but if you have a working understanding that these letters, you are more likely to approach the matter in a better mindset.

Ready to speak with an attorney? Contact Form below.


Subscribe to Business Legal Updates

Join thousands of other business owners and receive up-to-date business legal updates straight into your electronic mailbox.

  • Why You Shouldn’t Use Homeless People to Fill Job Vacancies [e132]

    December 19, 2014

    The guys end the week by recapping the story on the Tampa Bay Buccaneers and a local non-profit that paid homeless people with food and shelter to work concessions at games.  Then they answer, “How risky is it to discuss my company’s IP with job applicants?” Transcript: NASIR: All right, welcome to our podcast where we cover...
    Read More

  • Disrupting Employee Health Insurance

    December 18, 2014

    A recent New York Times rumination about running a small business, employee health insurance and the apparent inevitability of higher cost and compromised benefits wound around to this somewhat plaintive reflection: Yet, I have a feeling that somewhere there has to be better thinking and insight about the health insurance mess. That is where a lot of...
    Read More

  • The Perils of Signing Up For Free Trials [e131]

    December 17, 2014

    Nasir and Matt discuss how signing up for free trials can backfire for consumers and businesses.  They also answer the question, “I used to occupy the space next door but I needed less space, so after I left that area the landlord rented out that extra space to someone who offers the same type of...
    Read More

  • Advertising & Marketing: A Legal Guide for Small Business

    December 16, 2014

    Staying compliant with advertising and marketing is simple if you focus on just being truthful and clear with your customers. The rest is just understanding some subtleties on how to navigate the common legal traps in marketing. Look to the FTC “Protecting America’s consumers for 100 years,” the Federal Trade Commission (FTC) is responsible for eliminating and...
    Read More

  • Complaining About a Restaurant Bill Backfires Against Attorney [e130]

    December 15, 2014

    The guys start the week by detailing the story of a Harvard professor who fought with a restaurant over a $4 discrepancy in his bill.  They then answer, “At what point can I make my employees clock out but take care of non work activities at the office?” Transcript: NASIR: Welcome to the our podcast...
    Read More

  • SEC Compliance Issues for International Crowdfunding Site [e129]

    December 12, 2014

    The guys end the week by talking about an international crowdfunding site getting censured by the SEC.  They also answer, “I live in California but my LLC is setup in another state. At what point am I doing business in California?” Transcript: NASIR: All right, welcome to our podcast where we cover business in the...
    Read More

  • When the Boss Sells the Company

    December 11, 2014

    I once worked for a company that had been rumored, maybe, at some distant time in the future, possibly, but not certainly, perhaps in connection with a potential sale or not, to be tentatively considering relocating to another very fine state, which everyone would certainly love. Then one Monday morning, we were told to stop...
    Read More

  • When a Popular Magazine Gets Accused of Trademark Infringement [e128]

    December 10, 2014

    The guys discuss the fallout from a local San Diego blogger who accused San Diego Magazine of stealing her business name.  They then answer the question, “I’m a sole proprietor. What is some good tax advice to reduce my year end profit?”   Transcript: NASIR: All right, welcome to our podcast where we cover business in...
    Read More

  • The $41 Billion Company Uber is a Horrible Role Model for Business

    December 09, 2014

    You can’t argue with success! I can. Uber is a five-year old company now valued more than 72 percent of any Fortune 500 company. I actually love the concept of Uber: it is disruptive, filling a need, an uber startup, and Uber’s latest round of funding raising $1.2 billion at a $41 billion valuation is a confirmation of...
    Read More

  • Blatant Sexual Harassment at Zillow (Alleged) and Legalities of Weight Loss Contests [e127]

    December 08, 2014

    Nasir and Matt start the week by discussing the blatant forms of sexual harassment alleged at Zillow.  They also answer “My office is planning on doing a weight loss competition at the beginning of the year. Is this legal?” Transcript: NASIR: All right, welcome to our podcast where we cover business in the news and...
    Read More


Misclassifying Your Workforce

This free guide shows you how to avoid the worst & most common mistake in your business.

Get Free Download Now