Auto Accident Demand Letter - Louisiana

DEMAND FOR SETTLEMENT — MOTOR VEHICLE COLLISION

STATE OF LOUISIANA

[________________________________]
Attorneys at Law
[________________________________]
[________________________________], Louisiana [____]
Telephone: [________________________________]
Facsimile: [________________________________]
Email: [________________________________]

DATE: [__/__/____]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND VIA ELECTRONIC MAIL

[________________________________]
[________________________________]
[________________________________]
[________________________________], [____] [____]

RE: SETTLEMENT DEMAND — MOTOR VEHICLE COLLISION
Our Client: [________________________________]
Date of Loss: [__/__/____]
Your Insured: [________________________________]
Policy Number: [________________________________]
Claim Number: [________________________________]
Date of Birth: [__/__/____]
Social Security No. (last 4): XXX-XX-[____]

Dear [________________________________]:

This firm represents [________________________________] ("Claimant") in connection with the motor vehicle collision that occurred on [__/__/____] in [________________________________] Parish, Louisiana. This letter constitutes a formal demand for settlement of all claims arising from this incident. Please direct all further communications regarding this matter to our office.

I. LOUISIANA-SPECIFIC LEGAL FRAMEWORK

A. Prescriptive Period (Statute of Limitations)

Effective July 1, 2024, the prescriptive period for delictual actions is two (2) years from the date the injury or damage was sustained, pursuant to La. C.C. Art. 3493.1 (enacted by Acts 2024, No. 423, which repealed former Art. 3492). This provision applies prospectively to causes of action arising on or after July 1, 2024. Claims arising before that date remain subject to the prior one-year prescriptive period under former Art. 3492.

The prescriptive period in this matter expires on [__/__/____].

B. Pure Comparative Fault

Louisiana follows a pure comparative fault system under La. C.C. Art. 2323. A plaintiff may recover damages even if the plaintiff's fault exceeds that of the defendant. The plaintiff's recovery is simply reduced by the plaintiff's percentage of fault. This is the most plaintiff-favorable negligence standard available.

Our client bears no fault whatsoever for this collision.

C. Direct Action Against Insurers

Louisiana's Direct Action Statute, La. R.S. 22:1269, permits an injured party to sue a liability insurer directly, either alone or together with the insured. This is a right unique to Louisiana and a small number of other jurisdictions. Accordingly, this demand is made directly against [________________________________] as the liability insurer for [________________________________].

D. Louisiana Civil Law System

Louisiana is the only state that operates under a civil law system derived from the Napoleonic Code. Liability arises under La. C.C. Art. 2315 (general obligation for acts causing damage) and La. C.C. Art. 2316 (negligence), rather than common-law tort principles.

E. No Damage Caps on Compensatory Damages

Louisiana does not impose statutory caps on compensatory damages in automobile accident personal injury cases. Both economic and non-economic damages are fully recoverable.

F. Minimum Insurance Requirements

Louisiana law requires minimum liability coverage of $25,000 per person / $50,000 per accident for bodily injury and $25,000 for property damage under La. R.S. 32:900.

II. DIRECT ACTION NOTICE

Pursuant to La. R.S. 22:1269, this claim is made directly against [________________________________] as the liability insurer of [________________________________]. Your company is placed on notice that our client reserves the right to file suit directly against you, either alone or jointly with your insured, should this matter fail to resolve within the time frame set forth herein.

III. PRESERVATION OF EVIDENCE DEMAND

You are hereby placed on notice to preserve all evidence related to this claim, including but not limited to:

☐ Complete claims file, including all adjuster notes, correspondence, and evaluations
☐ All photographs, videos, and surveillance footage
☐ All recorded or written statements from any party or witness
☐ Vehicle inspection reports, repair estimates, and salvage records
☐ Event Data Recorder (EDR) / "black box" data from the insured vehicle
☐ Cell phone records of the insured driver at the time of the collision
☐ Employment and driving records of the insured driver
☐ Any and all insurance policy documents, including declarations pages and endorsements

Spoliation of any evidence may result in an adverse inference instruction at trial and independent sanctions under Louisiana law.

IV. STATEMENT OF FACTS

On [__/__/____], at approximately [____] [a.m./p.m.], our client was [________________________________] on [________________________________] in [________________________________] Parish, Louisiana. At that time, your insured, [________________________________], was operating a [____] [________________________________] (VIN: [________________________________]).

[________________________________]
[Describe the collision in detail, including road conditions, weather, traffic signals/signs, direction of travel, point of impact, and the at-fault driver's specific negligent conduct]
[________________________________]

The [________________________________] [Louisiana State Police / Sheriff's Office / Municipal Police] responded to the scene and prepared Crash Report No. [________________________________]. The report [________________________________] [describe findings, citations issued, fault determination].

V. LIABILITY ANALYSIS

A. Defendant's Negligence

Your insured breached the duty of care owed to our client by:

☐ Failing to maintain a proper lookout — La. R.S. 32:58
☐ Following too closely — La. R.S. 32:81
☐ Failing to yield the right of way — La. R.S. 32:121 et seq.
☐ Speeding / exceeding a safe speed for conditions — La. R.S. 32:64
☐ Running a red light or stop sign — La. R.S. 32:232
☐ Improper lane change — La. R.S. 32:79
☐ Distracted driving — La. R.S. 32:300.5 (cell phone/texting)
☐ Driving under the influence — La. R.S. 14:98
☐ Other: [________________________________]

B. Comparative Fault Analysis

Under Louisiana's pure comparative fault regime (La. C.C. Art. 2323), our client bears zero percent (0%) fault for this collision. The evidence, including the police report, witness statements, and physical evidence, conclusively establishes that your insured was solely responsible.

C. Negligence Per Se

Your insured's violation of [________________________________] constitutes negligence per se under Louisiana law. Bujol v. Entergy Servs., Inc., 2003-0492 (La. 5/25/04), 922 So.2d 1113.

VI. MEDICAL TREATMENT SUMMARY

Our client sustained the following injuries as a direct and proximate result of this collision:

A. Emergency / Immediate Treatment

B. Ongoing Treatment

C. Diagnosis Summary

☐ [________________________________]
☐ [________________________________]
☐ [________________________________]
☐ [________________________________]

D. Prognosis

[________________________________]
[Describe treating physician's prognosis, permanency opinions, future treatment recommendations]

VII. ITEMIZED MEDICAL EXPENSES

Estimated Future Medical Expenses

VIII. LOST WAGES AND EARNING CAPACITY

Employer: [________________________________]
Position: [________________________________]
Rate of Pay: $[________] per [hour/week/month/year]

☐ Employer verification letter enclosed
☐ Tax returns / pay stubs enclosed
☐ Lost earning capacity claim: $[________] [if applicable]

IX. PROPERTY DAMAGE

X. PAIN AND SUFFERING / GENERAL DAMAGES

Our client has endured significant pain and suffering as a result of this collision, including but not limited to:

☐ Physical pain and suffering (past and ongoing)
☐ Mental anguish and emotional distress
☐ Loss of enjoyment of life
☐ Inconvenience and disruption of daily activities
☐ Scarring and/or disfigurement
☐ Humiliation and embarrassment
☐ Fear and anxiety related to driving and travel
☐ Sleep disruption and fatigue
☐ Loss of consortium (if applicable — spouse: [________________________________])

General Damages Claimed: $[________]

XI. LOSS OF CONSORTIUM

[If applicable:]

Claimant's spouse, [________________________________], has suffered a loss of consortium as a direct result of the injuries sustained. Under Louisiana law, loss of consortium is a separately compensable element of damage. Ferrell v. Fireman's Fund Ins. Co., 94-1252 (La. 2/20/95), 650 So.2d 742.

Loss of Consortium Claimed: $[________]

XII. TOTAL DAMAGES SUMMARY

XIII. SETTLEMENT DEMAND

Based upon the foregoing, we hereby demand the sum of:

$[________________________________]

This demand is open for thirty (30) days from the date of this letter, expiring on [__/__/____].

This demand represents a good-faith evaluation of the full value of our client's claims. Should this matter proceed to litigation, we will seek all available damages, including court costs, interest from date of judicial demand (La. C.C. Art. 2000), and attorney fees where applicable.

XIV. BAD FAITH WARNING

La. R.S. 22:1892 — Failure to Timely Pay Claims

Under La. R.S. 22:1892, an insurer that fails to pay a claim within thirty (30) days after receipt of satisfactory proof of loss is subject to a penalty of fifty percent (50%) of the amount due, plus reasonable attorney fees and costs.

La. R.S. 22:1892 — Duty of Good Faith and Fair Dealing (Consolidated)

Effective July 1, 2024, Acts 2024, No. 3 (SB 323) repealed former La. R.S. 22:1973 and consolidated the insurer's duty of good faith and fair dealing into La. R.S. 22:1892. For losses on or after July 1, 2024, La. R.S. 22:1892 (as amended) governs both timely-payment penalties and good-faith duties. For losses arising before July 1, 2024, the former La. R.S. 22:1973 (allowing penalties of up to two times (2x) damages plus reasonable attorney fees and costs) remains applicable.

Bad faith conduct includes, but is not limited to:
☐ Failing to pay a settlement within thirty (30) days of agreement
☐ Arbitrarily or capriciously failing to pay a claim
☐ Misleading the claimant as to applicable policy provisions
☐ Failing to make a reasonable effort to settle claims in which liability is reasonably clear

Your company is on notice that failure to respond to this demand in good faith may result in the imposition of statutory penalties and attorney fees.

XV. COLLATERAL SOURCE RULE

Louisiana law provides limited collateral source protection. Under La. C.C. Art. 2324.1, a claimant's recovery of medical expenses shall be limited to the amount actually paid, subject to the provisions of La. R.S. 22:1874 and other applicable statutes. We reserve all rights regarding the application of the collateral source rule in this matter.

XVI. ENCLOSED DOCUMENTS

☐ Medical records and bills from all treating providers
☐ Police/crash report
☐ Photographs of vehicle damage
☐ Photographs of injuries
☐ Employer verification of lost wages
☐ Property damage estimates/repair invoices
☐ Witness statements (if available)
☐ Medical narrative / IME report (if available)
☐ [________________________________]

XVII. RESPONSE REQUESTED

Please confirm receipt of this demand letter and provide a substantive response within thirty (30) days. Failure to respond will be considered a rejection of this demand, and we will proceed accordingly, including filing suit under La. R.S. 22:1269 (Direct Action) and seeking all penalties and fees available under La. R.S. 22:1892 (and, for pre-July 1, 2024 losses, former La. R.S. 22:1973).

Respectfully submitted,

[________________________________]
Attorneys for [________________________________]

By: _________________________________
[________________________________]
Louisiana Bar Roll No. [________________________________]
[________________________________]
[________________________________], Louisiana [____]
Telephone: [________________________________]
Email: [________________________________]

LOUISIANA PRACTICE NOTES AND CHECKLIST

☐ Prescriptive Period: Two (2) years for actions arising on or after July 1, 2024 (La. C.C. Art. 3493.1, enacted by Act No. 423 of 2024; former Art. 3492 repealed); one (1) year for pre-July 2024 claims
☐ Pure Comparative Fault: Recovery available regardless of plaintiff's fault percentage (La. C.C. Art. 2323); damages reduced proportionally
☐ Direct Action Statute: La. R.S. 22:1269 permits suing the insurer directly without joining the insured
☐ Bad Faith Penalties: La. R.S. 22:1892 (50% penalty + fees; consolidated good-faith duty post-7/1/2024). Former La. R.S. 22:1973 (2x damages + fees) applies only to losses arising before July 1, 2024.
☐ Collateral Source: La. C.C. Art. 2324.1 limits recovery to amounts actually paid in some circumstances
☐ UM/UIM Coverage: Mandatory minimum coverage; important subrogation and notice rules under La. R.S. 22:1295
☐ Civil Law System: Louisiana uses the Civil Code framework (not common law); terminology differs (e.g., "prescription" not "statute of limitations," "delictual" not "tortious")
☐ Survivorship and Wrongful Death: La. C.C. Art. 2315.1 (survivorship) and La. C.C. Art. 2315.2 (wrongful death) if applicable
☐ Government Entity Claims: If government vehicle involved, verify immunity and claims procedures under La. R.S. 13:5101 et seq.
☐ Minimum Insurance: $25,000/$50,000/$25,000 (La. R.S. 32:900)

SOURCES AND REFERENCES

• Louisiana Civil Code Articles 2315, 2316, 2323, 2324.1, 3493.1
• Louisiana Revised Statutes 22:1269, 22:1892 (consolidated bad-faith statute as amended by Acts 2024, No. 3 / SB 323); former 22:1973 (repealed eff. July 1, 2024)
• Louisiana Revised Statutes 32:58 et seq. (Rules of the Road)
• Louisiana Revised Statutes 32:681 et seq. (Motor Vehicle Safety Responsibility)
• Act No. 423 of 2024 Regular Session (extending prescriptive period to two years)
• Louisiana Legislature: https://www.legis.la.gov