Auto Accident Demand Letter - North Dakota

DEMAND FOR SETTLEMENT - MOTOR VEHICLE COLLISION

STATE OF NORTH DAKOTA

[________________________________]
(Firm Name)

[________________________________]
(Street Address)

[________________________________], North Dakota [__________]
(City, State, ZIP)

Telephone: [________________________________]
Facsimile: [________________________________]
Email: [________________________________]

DATE: [__/__/____]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND VIA ELECTRONIC MAIL

[________________________________]
(Adjuster Name / Claims Professional)

[________________________________]
(Insurance Company Name)

[________________________________]
(Street Address)

[________________________________]
(City, State, ZIP)

Email: [________________________________]

RE: SETTLEMENT DEMAND - MOTOR VEHICLE COLLISION

Our Client: [________________________________] (Client Full Legal Name)
Client Date of Birth: [__/__/____]
Date of Loss: [__/__/____]
Your Insured: [________________________________] (At-Fault Driver Full Name)
Claim Number: [________________________________]
Policy Number: [________________________________]
Policy Limits: $[________________________________]

Dear [________________________________]:

This firm represents [________________________________] ("Client" or "Claimant") in connection with injuries and damages sustained in a motor vehicle collision that occurred on [__/__/____] in [________________________________], [________________________________] County, North Dakota. This letter constitutes a formal demand for settlement of all claims arising from this collision.

We have completed our investigation, compiled all medical records and billing statements, confirmed that our client has met the applicable no-fault tort threshold, and are now prepared to present our client's claim for your good faith evaluation.

I. NORTH DAKOTA LEGAL FRAMEWORK

A. Statute of Limitations - N.D.C.C. § 28-01-16

N.D.C.C. § 28-01-16(5) gives six years after accrual to a noncontract injury claim only when not otherwise expressly provided. Classify each claim and defendant, identify controlling accrual law, and screen shorter wrongful-death, malpractice, intentional-tort, government, UCC, and other periods before calculating a deadline. The section itself supplies discovery accrual only for fraud in subsection (6).

Date of Loss: [__/__/____]
Statute of Limitations Expiration: [__/__/____]

Note: For wrongful death claims, a separate two-year statute of limitations applies under N.D.C.C. § 28-01-18.

B. Modified Comparative Fault (50% Bar) - N.D.C.C. § 32-03.2-02

North Dakota follows modified comparative fault under N.D.C.C. § 32-03.2-02. Under this statute:

• Contributory fault does not bar recovery if the claimant's fault was less than the combined fault of all persons who contribute to the injury
• If the claimant's fault is as great as the combined fault of all other persons who contribute to the injury, the claimant is barred from recovery
• If the claimant's fault is less than 50%, the award of damages is diminished proportionately by the percentage of fault attributed to the claimant
• The trier of fact allocates fault to every contributing person, whether or not a party

Property-damage exception: Notwithstanding § 32-03.2-02, § 32-03.2-02.1 prevents fault reduction for qualifying direct property damage up to $5,000 and indirect property damage up to $1,000 in a two-person motor-vehicle accident when the target person's fault is over 50 percent. It does not govern personal-injury damages.

Fault under N.D.C.C. § 32-03.2-01 includes negligent or reckless acts or omissions and other specified bases of tort liability, including dram shop liability, product defect, breach of warranty, assumption of risk, product misuse, and failure to avoid or mitigate injury. Causation is still required.

In the present case, your insured bears 100% liability for this collision. There is no basis for comparative fault reduction.

C. North Dakota No-Fault System - N.D.C.C. Chapter 26.1-41

North Dakota is a no-fault auto insurance state. Under the Auto Accident Reparations Act (N.D.C.C. Ch. 26.1-41):

• All motor vehicle owners must carry basic no-fault (PIP) coverage providing a minimum of $30,000 per person for economic loss
• No-fault benefits cover qualifying medical expenses, work loss, and other defined economic losses regardless of fault, subject to category limits
• The no-fault system limits the right to bring tort claims for non-economic damages unless the serious injury threshold is met

D. Tort Threshold - Serious Injury Requirement - N.D.C.C. § 26.1-41-08

Under N.D.C.C. § 26.1-41-08, a secured person is exempt from liability for noneconomic damages in a covered action unless the injury is a "serious injury" as defined in § 26.1-41-01(21). The exemption also depends on the injured person's eligibility for basic no-fault benefits under § 26.1-41-08(2). The definition includes:

☐ Medical expenses exceed $2,500 (monetary threshold)
☐ Death results from the accident
☐ The injury results in serious and permanent disfigurement
☐ The injury results in disability beyond sixty (60) days
☐ The injury results in dismemberment

Our Client's Injuries Meet the Tort Threshold Because:

[________________________________]
(Specify which threshold criterion is met and provide supporting evidence. For the $2,500 medical expense threshold, document total medical expenses exceeding this amount. For other thresholds, provide medical documentation supporting the qualifying condition.)

☐ Total medical expenses of $[____________] exceed the $2,500 monetary threshold
☐ [Additional qualifying conditions as applicable]

Because our client's injuries satisfy the serious-injury threshold, our client claims recoverable economic and noneconomic damages against the at-fault driver, subject to applicable no-fault offsets and other defenses.

E. Economic Loss Limitations in Tort

In an action against a secured person, § 26.1-41-08(1)(b) exempts that defendant from economic-loss liability to the extent of basic no-fault benefits paid or to become payable for the injury, after subtracting the same elements of loss recoverable under workforce safety and insurance law. Subsection (2) limits this exemption to an injured person who may qualify for basic no-fault benefits and is not excluded under § 26.1-41-07. Identify the defendant's status and the applicable benefits before calculating the economic-loss demand.

F. No Damage Caps

North Dakota does not impose statutory caps on compensatory damages (economic or non-economic) in automobile accident personal injury cases. Any recovery remains subject to the exemptions and defenses above.

G. Collateral Source Payments - N.D.C.C. § 32-03.2-06

Under N.D.C.C. § 32-03.2-06, after an award of economic damages, the party responsible for payment may apply to the court for a reduction to the extent the same economic loss is covered by a qualifying collateral-source payment. The statute excludes life insurance, other death or retirement benefits, and insurance or benefits purchased by the claimant. Do not subtract a payment that must be repaid by the claimant.

II. STATEMENT OF FACTS

A. Parties Involved

B. Accident Description

On [__/__/____], at approximately [________] [AM/PM], our client was operating a [________] (Year) [________________________________] (Make/Model) in a [northbound/southbound/eastbound/westbound] direction on [________________________________] (Street/Highway Name) near [________________________________] (Intersection/Landmark) in [________________________________], [________________________________] County, North Dakota.

[________________________________]
(Provide detailed narrative of the collision, including:)

• (Direction and speed of travel for both vehicles)
• (Traffic conditions, road conditions, weather conditions)
• (Specific negligent acts or omissions by the at-fault driver)
• (Point of impact on both vehicles)
• (Post-impact movement of vehicles)
• (Whether airbags deployed)
• (Position of occupants at time of impact)
• (Emergency response and transport)

C. Police Report

The collision was investigated by [________________________________] (Law Enforcement Agency), and a report was filed under Report Number [________________________________]. The investigating officer [________________________________] (Officer Name/Badge Number) [noted/cited/documented]:

[________________________________]
(Summarize key findings, citations issued, fault determinations, and witness statements)

D. Witness Information

E. Photographic and Video Evidence

[________________________________]
(Describe available photographic and video evidence)

III. LIABILITY ANALYSIS

A. Negligence of Your Insured

Under North Dakota law, negligence requires: (1) a duty of care; (2) a breach of that duty; (3) a causal connection between the breach and the injury; and (4) damages. See Wachter v. Dakota Fire Ins. Co., 2007 ND 78.

Your insured breached the applicable duty of care by:

☐ Failing to maintain a proper lookout — N.D.C.C. § 39-10-33
☐ Following too closely — N.D.C.C. § 39-10-18
☐ Failing to yield the right-of-way — N.D.C.C. § 39-10-22
☐ Exceeding the posted speed limit — N.D.C.C. § 39-09-02
☐ Driving at a speed not reasonable under conditions — N.D.C.C. § 39-09-01
☐ Failing to obey a traffic control device — N.D.C.C. § 39-10-05
☐ Driving under the influence — N.D.C.C. § 39-08-01
☐ Composing, reading, or sending an electronic message while operating in traffic — N.D.C.C. § 39-08-23
☐ Failing to stop at a stop sign — N.D.C.C. § 39-10-44
☐ Unsafe lane change on a marked-lane roadway — N.D.C.C. § 39-10-17(1)
☐ Reckless driving — N.D.C.C. § 39-08-03
☐ Other: [________________________________]

B. Traffic Statute and Collision Facts

Your insured [describe conduct: __________________________________] in violation of [specific North Dakota traffic statute, if applicable: __________________________________]. That conduct caused or contributed to the collision because [________________________________].

C. Comparative Fault Assessment

Based on the totality of the evidence, your insured bears [____]% fault for this collision. Under N.D.C.C. § 32-03.2-02, our client may recover unless the client's fault is as great as the combined fault of all other persons who contributed to the injury. Apply § 32-03.2-02.1 separately to any property-damage component that satisfies its predicates.

IV. INJURIES AND MEDICAL TREATMENT

A. Injuries Sustained

As a direct and proximate result of this collision, our client sustained the following injuries:

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

B. No-Fault Benefits Received - N.D.C.C. Ch. 26.1-41

Our client has received basic no-fault benefits under the Auto Accident Reparations Act:

Note: Basic no-fault benefits have a $30,000 aggregate ceiling per injured person per accident, with separate limits for some categories, including work loss. Check § 26.1-41-08's secured-person exemption and the injured person's benefit eligibility before calculating economic-loss liability.

C. Medical Treatment Chronology

TOTAL MEDICAL EXPENSES: $[____________] (Exceeds $2,500 tort threshold)

D. Current Medical Status

[________________________________]
(Describe current condition, ongoing symptoms, functional limitations, prognosis, and future treatment recommendations)

E. Treating Physician's Opinions

[________________________________], [MD/DO], has opined that our client's injuries were caused by the motor vehicle collision and that [________________________________]
(Describe medical opinions on causation, permanency, disability, future treatment, and prognosis)

V. DAMAGES

A. Past Medical Expenses

Less No-Fault Benefits Paid for Medical: ($[____________])
Net Past Medical in Tort Claim: $[____________]

B. Future Medical Expenses

C. Lost Wages and Income

D. Future Lost Earning Capacity

[________________________________]
(Describe diminished future earning capacity with expert opinions)

E. Pain and Suffering (Non-Economic Damages)

Our client meets the serious-injury definition in N.D.C.C. § 26.1-41-01(21) and claims recoverable noneconomic damages. If § 26.1-41-08's secured-person exemption applies, the serious-injury showing defeats that exemption.

Our client has experienced significant pain and suffering:

☐ Physical pain from the collision and resulting injuries
☐ Ongoing chronic pain and discomfort
☐ Mental anguish and emotional distress
☐ Loss of enjoyment of life activities
☐ Inability to participate in recreational activities: [________________________________]
☐ Sleep disturbance and insomnia
☐ Anxiety, depression, and/or PTSD symptoms
☐ Scarring and/or disfigurement
☐ Loss of mobility and physical limitations
☐ Impact on family relationships and social activities
☐ Embarrassment and humiliation from physical limitations

Pain and Suffering Multiplier Analysis:

F. Property Damage

G. Loss of Consortium

[________________________________] (Spouse Name), our client's spouse, asserts a claim for loss of consortium under North Dakota law if supported by the facts. As a result, [________________________________] has been deprived of:

☐ Companionship and society
☐ Affection and intimacy
☐ Assistance with household duties
☐ Participation in shared activities
☐ Emotional support and comfort

Loss of Consortium Damages: $[____________]

VI. TOTAL DAMAGES SUMMARY

VII. NORTH DAKOTA INSURANCE REQUIREMENTS AND COVERAGE ANALYSIS

A. Mandatory Liability Insurance - N.D.C.C. § 39-08-20

North Dakota law requires the following minimum automobile liability insurance:

B. Basic No-Fault (PIP) Coverage - N.D.C.C. Ch. 26.1-41

North Dakota's no-fault system requires basic no-fault (PIP) coverage:

No-fault benefits cover:

• Medical expenses reasonably necessary for treatment of injuries
• Work loss calculated under § 26.1-41-01(24) at 85% of qualifying lost income, subject to deductions and a $150-per-week benefit limit
• Qualifying replacement services loss, limited to $15 per day
• Funeral expenses up to $3,500

No-fault benefits are paid regardless of fault. The $30,000 figure is the aggregate maximum per injured person per accident, not a promise to reimburse every economic loss up to that amount; category limits and eligibility rules still apply.

C. Uninsured Motorist Coverage - N.D.C.C. § 26.1-40-15.2

• UM coverage is required in the motor vehicle liability policies described by § 26.1-40-15.2(1); that section provides no insured rejection option
• Underinsured motorist (UIM) coverage is governed by N.D.C.C. § 26.1-40-15.3

D. Coverage Applicable to This Claim

VIII. SETTLEMENT DEMAND

A. Demand Amount

Based upon the foregoing analysis, and given that our client has met the serious injury threshold under North Dakota's no-fault system, we hereby demand the total sum of:

$[________________________________]

in full and final settlement of all claims arising from the collision of [__/__/____].

B. Demand Deadline

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

If not accepted within the stated timeframe, this demand is deemed withdrawn.

C. Settlement Terms

☐ Payment of the full demand amount within fifteen (15) days of acceptance
☐ Execution of a mutually agreeable release of all claims
☐ No admission of liability
☐ Settlement funds payable to "[________________________________] and [________________________________], Attorneys"
☐ Dismissal with prejudice of any pending litigation (if applicable)
☐ No-fault subrogation/reimbursement to be resolved separately

IX. SETTLEMENT NEGOTIATION PROVISIONS

A. Good Faith Obligation

We ask [________________________________] (Insurance Company) to evaluate this claim and respond with a reasonable settlement offer.

B. Counteroffer Process

Should you wish to make a counteroffer, we request:

☐ Written explanation of the basis for the counteroffer
☐ Specific identification of disputed damages categories
☐ Documentation supporting your position
☐ Policy limits and coverage positions
☐ Position on whether the tort threshold is met

X. RESERVATION OF RIGHTS AND LITIGATION WARNING

A. Reservation of Rights

This demand is presented without prejudice to all rights, claims, and remedies, including:

☐ Filing a civil action for negligence and related claims
☐ Seeking exemplary (punitive) damages under N.D.C.C. § 32-03.2-11 for oppression, fraud, or malice
☐ Asserting claims against additional parties
☐ Seeking interest if recoverable under N.D.C.C. § 32-03-04 or § 32-03-05
☐ Recovering attorney's fees and costs where permitted

B. Litigation Consequences

Should we be required to file suit:

• We will seek the full measure of damages under North Dakota law
• Claim-specific limitations, accrual, and tolling rules must be checked before suit; § 28-01-16(5) applies only when no other period is expressly provided
• Extensive discovery will be conducted
• Expert witnesses will be retained
• The evidence supports the serious-injury threshold and the claimed noneconomic damages, subject to applicable defenses
• All litigation costs and expenses will be sought

XI. MEDICAL AUTHORIZATION AND RECORDS

A. Enclosed Documentation

☐ Police/crash report
☐ Complete medical records from all treating providers
☐ Complete medical billing statements
☐ No-fault benefit payment documentation
☐ Proof that tort threshold ($2,500 medical expenses) is met
☐ Photographs of accident scene, vehicle damage, and injuries
☐ Proof of lost wages
☐ Pay stubs/W-2s/tax returns
☐ Expert reports
☐ Property damage documentation
☐ Out-of-pocket expense receipts
☐ Witness statements
☐ [________________________________]

B. Medical Records Authorization

☐ Limited medical authorization is [enclosed / available upon request]
☐ We do not authorize access to unrelated pre-existing records
☐ Direct all additional requests to this office

XII. DOCUMENTATION AND FILING CHECKLIST

Pre-Demand Preparation

☐ Complete investigation of accident facts
☐ Obtain and review police/crash report
☐ Photograph scene, vehicles, and injuries
☐ Identify and interview witnesses
☐ Obtain all medical records and billing statements
☐ Confirm tort threshold is met under N.D.C.C. § 26.1-41-08
☐ Document no-fault benefits received and remaining
☐ Verify client has reached MMI or stabilized
☐ Obtain treating physician narrative report
☐ Calculate all economic damages (net of no-fault offsets)
☐ Evaluate non-economic damages
☐ Research North Dakota law and comparable verdicts
☐ Determine all insurance coverages and limits
☐ Calendar statute of limitations deadline: [__/__/____]

Demand Submission

☐ Send demand via certified mail, return receipt requested
☐ Send courtesy copy via email
☐ Calendar 30-day response deadline: [__/__/____]
☐ Maintain complete file copies
☐ Log all adjuster communications

Post-Demand Follow-Up

☐ Confirm receipt of demand
☐ Follow up if no response within 15 business days
☐ Document all negotiations in writing
☐ Prepare complaint if demand rejected
☐ File suit well before statute of limitations expiration
☐ Consider mediation or ADR
☐ Address no-fault subrogation in any settlement

XIII. NORTH DAKOTA-SPECIFIC PRACTICE NOTES

A. Key Legal Considerations

☐ Limitations classification (N.D.C.C. § 28-01-16): Use subsection (5)'s six-year catchall only for a noncontract injury claim with no other express period; calculate accrual and tolling under current claim-specific authority.

☐ Modified Comparative Fault - 50% Bar (N.D.C.C. § 32-03.2-02): A claimant whose fault is equal to or greater than the combined fault of all other parties is barred from recovery. Establish clear liability to prevent comparative fault arguments.

☐ No-Fault System (N.D.C.C. Ch. 26.1-41): Basic no-fault (PIP) benefits have a $30,000 aggregate maximum per injured person per accident, with separate limits for work loss and certain other benefits. Track both the aggregate and category limits when calculating the tort claim.

☐ Tort Threshold - Serious Injury (N.D.C.C. §§ 26.1-41-01(21), 26.1-41-08): Check whether the secured-person exemption applies and whether the injury meets the statutory definition. One route is medical expenses exceeding $2,500. Document the applicable facts.

☐ Economic Loss Exemption: If § 26.1-41-08 applies, identify benefits paid or payable and the same loss elements recoverable under workforce safety and insurance law before calculating the secured defendant's economic-loss liability.

☐ No Damage Caps: North Dakota does not cap compensatory damages in auto accident cases. Once the tort threshold is met, full compensation is available.

☐ Collateral Source Payments (N.D.C.C. § 32-03.2-06): After an economic-damages award, the paying party may apply to reduce covered economic loss by qualifying collateral-source payments. The statute excludes insurance or benefits the claimant purchased, as well as life insurance and other death or retirement benefits.

☐ Exemplary (Punitive) Damages (N.D.C.C. § 32-03.2-11): Require clear and convincing evidence of oppression, fraud, or malice. An initial complaint may not seek them; a postfiling motion and court permission are required to amend. The award cannot exceed the greater of twice compensatory damages or $250,000 and cannot be made without compensatory damages.

☐ Interest (N.D.C.C. §§ 32-03-04, 32-03-05): Section 32-03-04 concerns damages certain or calculable from a vested date; § 32-03-05 permits interest at the court's or jury's discretion for a noncontract obligation. Neither makes interest automatic from the date of the collision.

☐ Mandatory UM Coverage: Check the required UM coverage and applicable limits under §§ 26.1-40-15.2 and 39-16.1-11 for the policy at issue.

☐ No-Fault Subrogation: The no-fault carrier may have subrogation rights against the tortfeasor or their insurer. Address subrogation in any settlement.

☐ Oil Field and Rural Accidents: North Dakota's oil industry and vast rural road network present unique accident scenarios. Weather-related driving conditions (ice, snow, wind) are common contributing factors.

B. Venue Considerations

☐ North Dakota District Court has jurisdiction over personal injury claims
☐ Venue is proper in the county where the accident occurred or where defendant resides
☐ Consider federal diversity jurisdiction if applicable
☐ North Dakota's smaller population means smaller jury pools; consider community dynamics

C. Expert Disclosure Requirements

☐ North Dakota Rules of Civil Procedure Rule 26(b)(4) governs expert discovery
☐ Check the court's current expert-disclosure rule and any case-specific order before setting an expert-report deadline
☐ Prepare experts to address causation, permanency, and the tort threshold

XIV. CONCLUSION

The evidence establishes that your insured was at fault for this collision and that our client has suffered significant injuries meeting the serious-injury threshold under North Dakota's no-fault system. Our client seeks the recoverable damages described above, subject to applicable offsets and defenses. We believe this demand represents a fair valuation under North Dakota law.

We look forward to your prompt and good faith response.

Respectfully submitted,

[________________________________]
(Firm Name)

By: _________________________________
[________________________________]
(Attorney Name)
North Dakota Bar No. [________________________________]
Email: [________________________________]
Direct Phone: [________________________________]

ENCLOSURES:
☐ Police/Crash Report
☐ Medical Records and Bills
☐ No-Fault Payment Documentation
☐ Tort Threshold Evidence
☐ Photographs
☐ Wage Verification
☐ Expert Reports
☐ Property Damage Documentation
☐ [________________________________]

cc: [________________________________] (Client)
cc: [________________________________] (File)

Sources and References

• North Dakota Century Code, N.D.C.C. § 28-01-16 (Statute of Limitations): https://ndlegis.gov/cencode/t28c01.html
• North Dakota Century Code, N.D.C.C. Ch. 32-03.2 (Fault, Damages, and Payments): https://ndlegis.gov/cencode/t32c03-2.html
• North Dakota Century Code, N.D.C.C. § 32-03.2-02 (Modified Comparative Fault): https://ndlegis.gov/cencode/t32c03-2.pdf
• North Dakota Century Code, N.D.C.C. Ch. 26.1-41 (Auto Accident Reparations): https://ndlegis.gov/cencode/t26-1c41.pdf
• North Dakota Century Code, N.D.C.C. § 26.1-41-08 (Serious Injury Threshold): https://codes.findlaw.com/nd/title-26-1-insurance/nd-cent-code-sect-26-1-41-08/
• North Dakota Century Code, N.D.C.C. § 39-08-20 (Mandatory Insurance): https://codes.findlaw.com/nd/title-39-motor-vehicles/nd-cent-code-sect-39-08-20/
• North Dakota Century Code, N.D.C.C. § 26.1-40-15.2 (UM/UIM Coverage): https://ndlegis.gov/cencode/t26-1c40.pdf
• North Dakota Insurance Department - Auto Insurance: https://www.insurance.nd.gov/consumers/insurance/auto
• North Dakota Legislative Memorandum on No-Fault Insurance: https://ndlegis.gov/files/resource/committee-memorandum/59025.pdf