Demand Letter for Breach of Contract — Free Template
When someone does not do what they agreed to, whether that is paying, delivering, finishing work or meeting a deadline, a demand letter for breach of contract points to the agreement, explains how it was broken, and states what you want to make it right. It works for written contracts, emails and many verbal agreements.
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[Your mailing address]
October 15, 2026
[Who you're sending it to]
Re: Formal demand and notice of intent to file a small claims action
Dear [Who you're sending it to],
I am writing to make a formal demand and to give you a final opportunity to resolve this matter before I take further action.
What happened:
[What happened]
What I am asking for: [What are you demanding?].
[Exactly what you want them to do]
Please do what is described above by October 29, 2026, or contact me in writing before that date with a specific proposal to resolve this.
If this matter is not resolved by October 29, 2026, I intend to file a claim in small claims court, plus court costs and any other relief the court allows. I may also file a complaint with the appropriate consumer protection office or licensing agency.
I would much prefer to settle this without going to court. I am keeping a copy of this letter and proof of delivery for my records.
Sincerely,
[Your full name]
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Point to the exact terms
Quote or summarize the specific promises in the contract: what was to be delivered, by when, and for how much. Then explain exactly how the other side failed to meet them. If the agreement is a series of emails or texts, refer to the dates of the key messages.
Explain what you did on your side, such as paying in full or giving access to your home. That shows you held up your end of the deal.
Calculate your losses
Your demand should usually aim to put you where you would have been if the contract had been kept. That might be a refund, the extra cost of hiring someone else, or the value of what you did not receive. Show the calculation and keep receipts.
Read the contract for clauses about refunds, cancellation, late delivery or how disputes must be handled. Some contracts require notice and a chance to fix the problem, or require arbitration instead of court.
Offer a way to fix it
If you would accept performance instead of money, such as finishing the work by a new date, say so. Giving the other side a clear path to resolve the breach makes settlement more likely.
If they do not respond, small claims court is often an option for smaller contract disputes. Time limits for contract claims are set by state law and are often different for written and oral agreements.
What to do, step by step
Decide exactly what you want
Pick one clear remedy — a sum of money, a refund, the return of a specific item, a repair or finished work. A specific request is far easier to agree to than a vague complaint.
Fill in the facts
Answer the questions above. Describe what happened in date order and leave out insults or speculation. A judge may read this letter later.
Send it with proof of delivery
Mail it by certified mail with return receipt, and email a copy if you have an address. Keep a copy of the letter and the receipt together.
Wait for the deadline
Give the other side the full response period. If they make a counteroffer, you can accept, negotiate or decline — just get any agreement in writing.
Take the next step
If the deadline passes with no resolution, you can file in small claims court, file a complaint with the state consumer protection office, or try a community mediation program.
What if they ignore your demand letter?
Silence doesn't help them. Your letter is a dated record showing you explained the problem, asked for something specific and gave a fair deadline. That is exactly what a small claims judge or a mediator will want to see.
Small claims court handles most everyday disputes over money, property and poor workmanship. Each state sets its own dollar limit and filing fee, and the court website for your county explains how to file. For the return of property, small claims courts in many states can only award its value in money, so state that value in your claim.
If the other party is a business, a complaint to the state consumer protection office or the relevant licensing board can also prompt a response. Many disputes settle once a business receives notice of a complaint or a court date.
Example demand letter for breach of contract
A filled-in sample with made-up details, so you can see the finished result.
Marcus Bell
1520 Willow Dr, Columbus, OH 43215
October 5, 2026
Ridgeline Event Rentals LLC
915 Industrial Pkwy, Columbus, OH 43219
Re: Formal demand and notice of intent to file a small claims action
Dear Ridgeline Event Rentals LLC,
I am writing to make a formal demand and to give you a final opportunity to resolve this matter before I take further action.
What happened:
On May 2, 2026, we signed a rental agreement for a 40-by-60-foot tent, tables and chairs for my daughter's wedding on September 12, and I paid the full $3,200. The agreement required setup by noon on September 11. Your crew did not arrive, and on September 11 your office told me the tent had been double-booked. I had to rent replacement equipment from another company at the last minute for $3,650.
What I am asking for: A refund.
Refund the $3,200 I paid under our rental agreement and pay the $450 difference I spent on replacement equipment, for a total of $3,650.
The amount at issue is $3,650.00.
I have kept records supporting this demand, including: the signed rental agreement, my payment receipt, the replacement company's invoice, and text messages with your office on September 11.
Please do what is described above by October 19, 2026, or contact me in writing before that date with a specific proposal to resolve this.
If this matter is not resolved by October 19, 2026, I intend to file a claim in small claims court for $3,650.00, plus court costs and any other relief the court allows. I may also file a complaint with the appropriate consumer protection office or licensing agency.
I would much prefer to settle this without going to court. I am keeping a copy of this letter and proof of delivery for my records.
Sincerely,
Marcus Bell
Frequently asked questions
Can I send this letter for a verbal agreement?
Yes. Many verbal agreements are enforceable, although some types of contracts must be in writing. Describe when and how the agreement was made and any texts, emails or payments that confirm it. Written evidence of the deal makes your demand much stronger.
What if the contract has an arbitration clause?
Some contracts require disputes to go to arbitration instead of court, and some allow small claims court as an exception. Read the clause before you name small claims court as your next step, and edit the letter if needed.
Should I give them a chance to fix the problem?
Often yes, especially if the contract requires notice and an opportunity to cure. Even if it does not, offering a chance to fix things shows good faith and may get you what you wanted in the first place.
What is a demand letter?
A demand letter is a formal written request that someone pay money, return property, make a repair or otherwise fix a problem by a set date. It explains the facts, states exactly what you want, and says what you'll do next, usually file in small claims court, if they don't act.
Does a demand letter have to be written by a professional?
No. Anyone can write and send their own demand letter. What makes it effective is clarity: accurate facts, a specific request, a reasonable deadline and a calm tone. Many small claims courts expect people to represent themselves and to have tried to resolve the dispute first.
FairLetter is not a law firm and does not provide legal advice. Letters are templates you customize and send yourself.