DEMAND FOR SETTLEMENT - PROFESSIONAL MALPRACTICE

COMMONWEALTH OF KENTUCKY

[FIRM NAME]
Attorneys at Law
[Street Address]
[City, Kentucky ZIP]
Telephone: [Phone]
Facsimile: [Fax]
Email: [Email]
Licensed in the Commonwealth of Kentucky

DATE: [Date]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND FIRST-CLASS MAIL

[Professional's Name or Firm]
[Professional Liability Insurance Carrier]
[Street Address]
[City, State ZIP]

RE: PROFESSIONAL MALPRACTICE CLAIM - SETTLEMENT DEMAND
Claimant: [Client Full Name]
Date(s) of Negligent Services: [Date or Date Range]
Professional(s): [Professional Name(s)]
Type of Professional: [Attorney/CPA/Architect/Engineer]
Claim Number: [If assigned]

Dear [Recipient Name]:

This firm represents [Client Name] in connection with the professional malpractice committed by [Professional Name] during the provision of [legal/accounting/architectural/engineering] services. This letter constitutes formal notice of our client's claim and our demand for settlement.

I. KENTUCKY-SPECIFIC LEGAL FRAMEWORK

A. Governing Law

This claim is governed by Kentucky common law principles of professional negligence and the Kentucky Revised Statutes (KRS).

B. Statute of Limitations

Professional Malpractice: Under KRS Section 413.245, an action against an attorney, accountant, or other licensed professional must be brought within one (1) year from the date the cause of action was or reasonably should have been discovered.

Absolute Bar - Legal Malpractice: Under KRS Section 413.245, no action against an attorney arising out of professional services may be brought more than five (5) years from the date of the act or omission.

Discovery Rule: Kentucky applies the discovery rule. The limitations period begins when the plaintiff discovers or should have discovered the injury. Michels v. Sklavos, 869 S.W.2d 728 (Ky. 1994).

Design Professionals - Statute of Repose: Under KRS Section 413.135, claims against architects, engineers, and contractors must be brought within 7 years after substantial completion.

Relevant Dates in This Matter:
- Date(s) of negligent services: [Date(s)]
- Date of discovery: [Date]
- One-year limitations period expires: [Date]
- Five-year repose expires: [Date]

C. Comparative Fault

Kentucky follows pure comparative fault under Hilen v. Hays, 673 S.W.2d 713 (Ky. 1984). A plaintiff's recovery is reduced by the plaintiff's percentage of fault but is not barred regardless of the percentage.

Our investigation establishes that our client bears no fault for the damages caused by the defendant's professional negligence.

D. Standard of Care Under Kentucky Law

Under Kentucky law, a professional must exercise that degree of care and skill expected of a competent practitioner in the same field under similar circumstances.

Attorney Standard: An attorney must possess the degree of skill and learning ordinarily possessed by members of the profession and must exercise reasonable care and diligence. Daugherty v. Runner, 581 S.W.2d 12 (Ky. App. 1978).

Accountant Standard: An accountant must exercise the degree of skill and care that a reasonably competent CPA would exercise under similar circumstances.

Architect/Engineer Standard: Design professionals must exercise the degree of care and skill ordinarily exercised by members of their profession.

E. Certificate of Merit

Under KRS Section 411.167, a professional malpractice action must be accompanied by a certificate of merit signed by an expert:
1. The expert must be licensed or have practiced in the same profession as the defendant;
2. The certificate must state that there is a reasonable basis for the claim; and
3. The certificate must identify at least one act or omission that breached the standard of care.

Timing: Must be filed within 90 days of filing the complaint.

F. Expert Witness Requirements

Expert testimony is required to establish the standard of care and breach in professional malpractice cases. Michels v. Sklavos, 869 S.W.2d 728 (Ky. 1994).

Certification: We have retained a qualified expert who has reviewed the relevant materials and is prepared to provide the required certificate of merit.

G. Damage Caps

Kentucky does not impose statutory caps on compensatory damages in professional malpractice cases.

II. PRESERVATION OF EVIDENCE - LITIGATION HOLD

YOU ARE HEREBY DIRECTED TO PRESERVE ALL EVIDENCE relating to the professional services provided to [Client Name], including but not limited to:

• Complete client files (paper and electronic)
• All drafts and working papers
• Correspondence (including emails, texts, and messages)
• Engagement letters and fee agreements
• Time records and billing statements
• Internal memoranda and notes
• Professional liability insurance policies
• [For Attorneys:] Case files, pleadings, research memoranda
• [For Accountants:] Work papers, tax returns, financial statements
• [For Architects/Engineers:] Drawings, specifications, calculations, project files

Modification, destruction, or concealment of any records will result in claims for spoliation and sanctions.

III. FACTUAL BACKGROUND

A. Professional Engagement

[Client Name] engaged [Professional Name/Firm] on or about [Date] to provide [type of professional services]:

Scope of Engagement:
- [Describe the scope of professional services]
- [Objectives or goals of the engagement]

Professional Relationship:
- Engagement date: [Date]
- [If applicable:] Termination date: [Date]
- Fee arrangement: [Hourly/Fixed/Contingency]

B. Chronology of Events

[Date]: [Describe what occurred]

[Date]: [Describe what occurred]

C. The Professional Error(s)

[Describe specifically what the professional(s) did wrong]

D. Discovery of Malpractice

Our client [did not discover / could not have reasonably discovered] the malpractice until [Date], when [describe discovery circumstances].

IV. ELEMENTS OF PROFESSIONAL MALPRACTICE

Under Kentucky law, a plaintiff must establish:

A. Duty (Professional Relationship)

[Professional Name] owed a duty of care to [Client Name] arising from the professional relationship established on [Date].

B. Breach of the Standard of Care

Applicable Standard: [Professional Name] was required to exercise that degree of care and skill expected of a competent practitioner in the same field.

Based on our expert's analysis, the applicable standard of care required [Professional] to:

1. [Standard 1]
2. [Standard 2]
3. [Standard 3]

Breaches:

Breach 1: [Detailed description]

Breach 2: [Detailed description]

C. Causation

Proximate Cause: But for [Professional Name]'s breach of the standard of care, [Client Name] would not have suffered the damages described herein.

Legal Malpractice - Case Within a Case: [If applicable:] Had [Attorney Name] properly handled the matter, our client would have [obtained a favorable judgment / avoided liability]. Daugherty v. Runner, 581 S.W.2d 12 (Ky. App. 1978).

D. Damages

As a direct and proximate result of the malpractice, [Client Name] has suffered the damages set forth below.

V. EXPERT OPINION

We have retained [Expert Name], a [licensed attorney/CPA/architect/licensed professional engineer] with [number] years of experience. [Expert Name] has concluded that:

1. [Professional Name] breached the applicable standard of care;
2. These breaches were a proximate cause of [Client Name]'s damages; and
3. Had appropriate professional services been rendered, [describe avoided outcome].

VI. DAMAGES

A. Direct Financial Losses

B. Consequential Damages

C. Summary of Damages

VII. SETTLEMENT DEMAND

Based upon the clear breach of the standard of care and the substantial damages incurred, we hereby demand:

$[DEMAND AMOUNT]

This demand will remain open for thirty (30) days from the date of this letter, expiring at 5:00 p.m. Eastern Time on [Expiration Date].

VIII. INSURANCE INFORMATION REQUEST

Please provide within ten (10) days:

1. All professional liability insurance policies applicable to this claim
2. Policy limits for each applicable policy
3. Any deductible or self-insured retention amounts

IX. DOCUMENTATION ENCLOSED

• Engagement letter and correspondence
• Documents evidencing the professional's work
• Documents evidencing damages
• Expert curriculum vitae

X. CONCLUSION

This case presents clear professional malpractice that caused significant financial harm to our client. We are prepared to litigate this matter through trial in the Kentucky Circuit Court if necessary.

Please respond by the deadline stated above.

Respectfully submitted,

[FIRM NAME]

By: _________________________________
[Attorney Name]
Kentucky Bar No. [Number]
Attorney for [Client Name]

ENCLOSURES: As noted above

cc: [Client Name]
File

KENTUCKY PROFESSIONAL MALPRACTICE PRACTICE NOTES

• Pure Comparative Fault: Kentucky follows pure comparative fault - recovery reduced by plaintiff's percentage of fault but not barred.

• Short Limitations Period: Only ONE YEAR from discovery under KRS Section 413.245.

• Certificate of Merit Required: KRS Section 411.167 requires expert certificate within 90 days of complaint.

• Five-Year Repose for Legal Malpractice: Absolute bar regardless of discovery.

• Seven-Year Repose for Design Professionals: Under KRS Section 413.135.

• Expert Testimony Required: Essential for establishing standard of care.

• Case Within a Case: In legal malpractice, must prove the underlying case would have been successful.

• Venue: Proper in county where defendant resides or where cause of action arose.

This template is specific to Kentucky law. Always verify current law and consult with qualified Kentucky counsel.