Demand Letter to a Contractor — Free Template
When a contractor takes a deposit and disappears, leaves the job half done, or does work that has to be redone, a demand letter to a contractor gives them a final written chance to finish, fix the work or refund your money. It also creates a record for a licensing board complaint or small claims case.
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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: Completion or correction of work you agreed to do.
[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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Give a clear choice
Often the best outcome is the work completed properly. State what must be done, by when, and what you will accept instead if they will not finish, such as a refund of the unused deposit. A clear choice makes it easy for the contractor to say yes.
If the work was done poorly, describe the defects specifically and attach photos. A second contractor's written opinion or repair estimate is persuasive evidence.
Check the contractor's license and bond
Many states license contractors, and licensing boards often accept complaints about abandoned or defective work. Some states also have recovery funds for homeowners harmed by licensed contractors, or require contractors to carry a bond you can claim against.
Look up the contractor on your state's licensing board website. Mentioning that you will file a licensing complaint if the matter is not resolved can be effective, and it is a legitimate step.
Avoid making things harder
Before hiring someone else to finish, document the condition of the job with photos and give the original contractor the deadline in your letter. Removing their access or redoing the work too quickly can complicate a later claim.
Read your contract for terms about delays, change orders, payment schedules and disputes. If some delay was caused by changes you requested, account for that honestly in your letter.
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 to contractor
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
ProBuild Home Improvement LLC
3150 E Main St, Columbus, OH 43209
Re: Formal demand and notice of intent to file a small claims action
Dear ProBuild Home Improvement 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 June 3, 2026, we signed a contract for ProBuild to remodel my bathroom for $9,800, to be completed by August 15. I paid a $4,900 deposit. Your crew removed the old fixtures and tile in mid-June, then stopped coming after June 24. I have called and texted seven times since July 10, and the room has been unusable for nearly four months.
What I am asking for: Completion or correction of work you agreed to do.
Return to finish the bathroom as described in our contract, with work starting by the deadline below and finishing within three weeks, or refund the $4,900 deposit minus the fair value of the demolition already done.
The amount at issue is $4,900.00.
I have kept records supporting this demand, including: the signed contract, my deposit receipt, photos of the unfinished bathroom, and my record of calls and texts.
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 $4,900.00, 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 a contractor put a lien on my house if I don't pay?
In many states, contractors and suppliers can file a mechanic's lien for unpaid work, subject to strict notice and timing rules. If you are withholding payment over a dispute, document the reasons in writing. Rules vary by state, so check before withholding a large final payment.
What if the contractor was unlicensed?
Some states limit an unlicensed contractor's ability to collect payment, and hiring an unlicensed contractor can affect your options too. You can still send a demand letter and file a complaint with the state licensing board or consumer protection office.
How long should I give the contractor?
Ten to fourteen days to respond is typical, with a longer, specific timeline to complete the work if they agree to finish. The template sets the response date; you can describe the completion timeline in the demand details.
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.