Demand Letter - Payment

DEMAND FOR PAYMENT LETTER

[Account-Based Request – Alabama]

Notice only. Creditor does not intend this demand to amend the underlying agreement, treat silence as an admission, impose a new covenant, select a new forum, or add interest, fees, or damages. Review the underlying documents and applicable Alabama law before sending.

TABLE OF CONTENTS

1. Document Header
2. Definitions
3. Operative Provisions
4. Account Review and Disputes
5. Covenants & Restrictions
6. Default & Remedies
7. Claim Limits
8. Dispute Resolution
9. General Provisions
10. Sender Signature

1. DOCUMENT HEADER

Re: Demand for Payment Under [UNDERLYING AGREEMENT]

Date: [DATE]

To:
[DEBTOR NAME]
[DEBTOR ADDRESS]

From:
[CREDITOR NAME]
[CREDITOR ADDRESS]

Governing Law: Alabama

Recitals
A. Creditor identifies [UNDERLYING AGREEMENT / INVOICE / OTHER RECORD] dated [DATE] as the basis for the claimed balance.
B. Creditor's account review is attached as Exhibit A.
C. Creditor sends this payment request without adding a new contract term or conceding a disputed fact.

2. DEFINITIONS

For purposes of this Demand, the following capitalized terms have the meanings set forth below:

"Agreement" means the contract identified in Recital A.
"Creditor" means [CREDITOR NAME], and includes its successors and assigns.
"Debtor" means [DEBTOR NAME], and includes its successors and assigns.
"Demand Date" means the date first written above.
"Claimed Balance" means $[________________________________], calculated in Exhibit A and subject to any supported credit, offset, defense, or dispute.
"Requested Response Date" means [__/__/____]. It is a requested date, not a new contractual or statutory deadline.

3. OPERATIVE PROVISIONS

3.1 Claimed Balance. As of the Demand Date, Creditor claims the Claimed Balance shown in Exhibit A. List principal, each payment and credit, and every separately claimed charge rather than combining them into one unsupported number.

3.2 Payment Request. Creditor requests payment of the supported, undisputed Claimed Balance or a written response by the Requested Response Date.

3.3 Acceptable Payment Methods. Payment shall be made in immediately available funds via:
(a) wire transfer to the following account:
Bank: [ACCOUNT_BANK]
Routing/ABA: [ACCOUNT_ROUTING]
Account No.: [ACCOUNT_NUMBER]; or
(b) such other method as Creditor may approve in writing.

3.4 Application of Payment. State in a receipt or separate agreement how an accepted payment is applied. This Letter does not unilaterally determine discharge, allocation, settlement, or release.

3.5 Conditional Payments. Route any check or instrument marked “payment in full,” “full settlement,” or similar language to Alabama counsel before deposit. A unilateral sentence in this letter does not control the legal effect of a conditional instrument.

4. ACCOUNT REVIEW AND DISPUTES

4.1 Creditor Review. Before sending, Creditor should verify the contracting parties, performance, invoices, payments, credits, amendments, notices, defenses already raised, and arithmetic shown in Exhibit A.

4.2 Dispute Response. Debtor may identify a disputed entry and provide supporting records. Creditor does not ask Debtor to treat silence as an acknowledgment, waiver, or new promise to pay.

4.3 No Admission by Response. Creditor is requesting information and payment; it is not asking Debtor to make a warranty or admission merely by responding.

5. COVENANTS & RESTRICTIONS

5.1 No Offered Covenant. This letter requests payment; Creditor does not intend it to offer or impose a new promise or covenant.

5.2 Supporting Records. A response may include documents supporting any claimed credit, offset, payment, or dispute.

5.3 No Offered Asset Restriction. Creditor does not intend this demand to restrain a transfer, create a lien, or impose an asset covenant.

6. DEFAULT & REMEDIES

6.1 No Claimed New Default. Creditor does not rely on the Requested Response Date itself to create a default, accelerate a balance, or change a notice or cure period.

6.2 Cure Period. The underlying agreement and applicable law determine whether notice or a cure period is required.

6.3 Remedies. If payment or a documented proposal is not received, Creditor will evaluate remedies available under the underlying documents and applicable law. No lawsuit, interest award, fee award, attachment, lien, acceleration, or other remedy is represented as automatic.

6.4 No Intended Waiver. Creditor does not intend this Letter to amend the underlying documents or waive a position. Counsel must separately evaluate any waiver, election, limitations, or delay issue.

7. CLAIM LIMITS

7.1 No Risk-Shifting Term. This Letter does not add an indemnity, liability limitation, mitigation disclaimer, fee shift, or damages formula.

7.2 Damages. Counsel should identify the legal and factual basis for every category of damages or charge before including it in Exhibit A or a later filing.

8. DISPUTE RESOLUTION

8.1 Governing Law. The underlying agreement and applicable choice-of-law rules determine governing law; this unilateral demand does not create a new choice-of-law agreement.

8.2 Forum. The underlying agreement and applicable jurisdiction and venue law determine any forum; this unilateral demand does not create consent to a court.

9. GENERAL PROVISIONS

9.1 Corrections. Creditor may correct or supplement this demand without representing that the letter is a contract.

9.2 Assignment. The underlying agreement and applicable law determine assignment rights; this letter creates none.

9.3 No Contract Terms. Severability, survival, counterparts, and similar agreement clauses are intentionally omitted because this letter is a demand, not a new contract.

9.4 Underlying Agreement Controls. Nothing in this letter supersedes or amends the underlying agreement or a later signed settlement.

9.5 No Debtor Signature Required. The creditor signs the demand only to identify its sender; debtor acceptance is not requested by this form.

10. SENDER SIGNATURE

Sent by:

[CREDITOR NAME]

By: _____________________________________
Name: [AUTHORIZED SIGNATORY]
Title: [TITLE]
Date: _________________

cc: [ATTORNEY NAME], Esq., [LAW FIRM]
cc: [COLLECTION AGENCY], if applicable

EXHIBIT A — ACCOUNT RECONCILIATION

Total Claimed Balance: $[________________________________]

Documents attached: [________________________________]