How to Write a Demand Letter in Canada (And When You Actually Need One)

A demand letter is a formal written request asking someone to do something — usually pay money they owe you or fix a problem — before you take legal action. In Canada, courts expect you to try resolving a dispute before filing a claim, and a well-written demand letter is often what makes the other side pay attention.

Every effective demand letter has the same backbone. State who you are and who they are. Describe exactly what happened, with dates and amounts. State clearly what you want (payment of $X by a specific date, for example). Explain what you will do if they ignore you — such as filing in small claims court. Keep the tone firm but professional; threats and insults weaken your position.

Common situations where demand letters work: unpaid invoices from clients, a security deposit a landlord won't return, a contractor who took a deposit and disappeared, or a neighbour whose actions damaged your property. In many of these cases, receiving a formal letter is enough — most people would rather pay than deal with court.

Send it in a way you can prove: registered mail or email with read confirmation. Keep a copy. Give a reasonable deadline, usually 10 to 14 days. If they don't respond, you have a clean paper trail showing the court you tried.

You don't need a lawyer to write one. Our free demand letter generator walks you through it province by province and produces a professional letter in minutes.