Legal Services – Letters of Demand

At Singapore Debt Collection, we have continued to offer our clients a wide range of debt collection services for businesses as well as individuals. In our capacity as first party or third party collectors, we follow the requirements of the law to attempt to resolve clients’ outstanding debts successfully.

Of course, once an account falls overdue and before pursuing legal action through the Small Claims Tribunal or the Civil Court System, it is common for a creditor to send several letters of demand. Only after the recipient fails to comply can the creditor consider the option of litigation.

Different letters of demand

Through our legal team, we can help you to draft effective letters of demands as well as writs of summons for your debtors depending on the circumstances of your debt.

Letters of demand, as the name suggests, spell out the writer’s demands, which the recipient must comply with or else risk further action. In order to increase efficiency, clients use lawyers and legal representatives to draft and send out letters of demand which outline the possibility of legal action if the client fails to honor the demands within the time allocated.

Once you have sent a letter of demand and it goes unanswered or the debtor otherwise ignores, you may use our legal representatives to initiate legal proceedings against your creditor. At this point, on filing of the case, we will write and present a writ of summons notifying the defendant that you have initiated suit/claim against them and requiring them to appear in court.

Writ of summons documents are formal documents issued by the court, and a copy of the same maintained in the courthouse. Letters of demand are informal documents sent out according to the discretion of the client and his/her legal representative.

Why use the LOD?

It is customary for most business owners and other creditors to begin by sending letters of demand requiring a debtor to settle overdue amounts prior to starting legal action. This helps to keep the relationship as cordial as possible, by giving the debtor all possible opportunities to comply with the request.

Even prior to the official LOD from us, we ask our clients to send a reminder through the business’s letterhead, and send at least two letters of demand before initiating litigation. While it is not compulsory, as a business owner, you want to make sure that you do not break any business relationships, even in the process of doing what is best for your business.

Contact us today to receive guidance and representation relating to your letters of demand and related matters.