what happens once my lawyer makes a demand

by Cordelia Jacobs PhD 8 min read

Typically, after your attorney has sent a demand letter to the insurance adjuster or other party, it can take anywhere from a few weeks to a couple of months to obtain your settlement. Unfortunately, it’s impossible to determine exactly how long after a demand letter a settlement will take.

After You Send Your Letter
Once you've written your demand letter and sent it on to the insurance company, the response time may vary. Typically, you can expect an answer within a few weeks. However, sometimes this process can take as long as a few months.

Full Answer

What happens if you send a demand letter to a lawyer?

If a sender of a demand letter has hired an attorney, they’re clearly spending money to protect their rights and it demonstrates that they’re more serious than if they’re just emailing or calling and making the legal claims themselves. Second, a demand letter is generally seen by the court as a sign of good faith.

What should I expect from my lawyer?

You should know that many states have laws regarding when and how a lawyer must communicate with clients. In general, however, you should be able to expect to get a general overview of your case whenever you request it from your attorney. In addition, you should also expect your attorney to call you back or return your emails in a timely manner.

What happens if the defendant does not respond to a demand?

Sometimes, however, the two parties cannot reach a settlement. This can be because the litigating party decides to reject the insurance company or defendant’s counteroffer. In rare cases, it can be because the defendant party does not respond to the demand letter in the first place.

What happens if I owe money to a previous lawyer?

If you owe money to the previous lawyer for expenses, they have the right to claim payment for those funds if they’re not being disputed. Pay off your balance immediately because the lawyer could hold your case files until they receive payment.

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What's the next step after the demand letter?

After you send a demand letter, one of several things can happen: The insurance company accepts your demand, and the settlement goes forward. You'll receive the compensation you asked for and sign a release of liability in exchange.

What does it mean when a lawyer makes a demand?

A demand letter is a preliminary tactic used by individuals or entities as an attempt to resolve a dispute, usually over a form of payment owed by one party to another. These letters are an effort by one party involved in the dispute to reach a resolution before taking formal legal action through the courts.

What is a demand for settlement?

In civil cases where one party has been wrongfully injured by another, a settlement demand letter is prepared by your attorneys to effectuate a reasonable settlement of the claim outside of court and the filing of a civil lawsuit.

Are demand letters effective?

Bottom line: you should generally not expect a demand letter to yield a quick and effective resolution, except in the rarest of cases where the stars align (enormous damages, clear liability, and reasonable defendant and opposing counsel on the other side).

What is the point of a demand letter?

The purpose of a demand letter is to begin legal negotiation between opposing parties that will result in dispute resolution rather than litigation, and to influence the recipient's understanding of the dispute's risks and rewards in a way that favors the client's interests.

How long does it take to respond to a demand letter?

Once you've written your demand letter and sent it on to the insurance company, the response time may vary. Typically, you can expect an answer within a few weeks. However, sometimes this process can take as long as a few months.

What is in a demand package?

A demand packet includes a demand letter that's written by your attorney and the letter literally demands X dollar amount in order to resolve your case. This dollar amount is usually extremely high giving the attorney room to negotiate your claim.

How do lawyers negotiate settlements?

The negotiation process typically starts with your lawyer providing a written proposal for settlement to the insurance adjuster or the defendant's lawyer. The adjuster or lawyer will respond to your lawyer either in writing or over the phone.

Why do lawyers take so long to settle a case?

Personal injury cases usually take quite some time to settle or resolve. The reasons a case can progress slowly can be summed up into three general points: Your case is slowed down by legal or factual problems. Your case involves a lot of damages and substantial compensation.

How do you respond to an attorney demand letter?

What to IncludeA summary of the original demand letter, with an outline of its assertions (even if these are disputed) and the total payment that was demanded.An alternative account of events, as relevant, with corroborating evidence, if possible.Suggestions for how to remedy the dispute.

Do you have to respond to a letter from a lawyer?

No, you should not ignore the letter. It is unlikely that the lawyer is going to be rejected by the company's failure to respond to a lawyer letter. Most likely, the company will either get a second letter – or a formal law suit.

Can a letter of demand be emailed?

In a groundbreaking order, the Gauteng High Court, Pretoria, has accepted the digitally registered delivery of a Section 129 final letter of demand for payment as the basis for granting a default judgment.

What happens after a demand letter is sent?

The most common route is that, after your demand letter has been sent, the insurance company will reject your settlement amount and come back with a different value. Once that has been sent, you and your attorney will either accept or refuse the amount. This back-and-forth process can go on until a dollar amount is agreed upon.

What is the purpose of a demand letter?

The ultimate goal of a demand letter is to provide you, the victim, with a settlement you are satisfied with. But if you’re facing a personal injury lawsuit, you’re likely wondering how long your settlement will take after your demand letter has been sent. Each case is different.

Can insurance companies accept initial demand?

In some instances, the insurance company may accept your initial demand amount and pay it immediately—although that is relatively rare. More often, securing a settlement you and the insurance company agree upon will require a few months of negotiations.

Why is a demand letter written by an attorney?

That’s often why it’s written by an attorney because you want to be very careful about what is said in a demand letter.

What happens if you don't respond to a demand letter?

Some people think if they don’t respond, the sender will go away. This is usually not the case — especially if the other party has retained an attorney. Respond and try to resolve the issue or you run the risk of going to court. And courts may not look favorably on those who simply ignore demand letters.

What does a demand letter mean?

1. A demand letter shows the other party you’re serious. 2. A demand letter is generally seen by the court as a sign of good faith. 3. The information in a demand letter may be used against you. 4. Sending a demand letter can save you money and time in the long run. 5.

Why do businesses send demand letters?

Commonly used by businesses, demand letters are often sent to demand money owed or restitution , but they can also be used to demand specific actions.

Why do we need demand letters?

They can expedite a successful outcome and avoid costly litigation. Even if you do end up filing a lawsuit, a demand letter shows the court that you reasonably tried to work with the other party to settle the problem.

How long does it take to settle a lawsuit?

A lawsuit often takes months, if not years. Fifth, don’t ignore a demand letter.

Do you have to write a demand letter to an attorney?

A demand letter does not have to be written by an attorney but a letter coming from a law firm is generally taken more seriously and will provide the protections listed above. 5. Never ignore a demand letter. If you receive one, contact your attorney immediately.

There are several ways the insurance company can respond to your demand letter, including with the proverbial "radio silence"

There are several ways the insurance company can respond to your demand letter, including with the proverbial "radio silence".

What Happens Next?

The insurance company accepts your demand, and the settlement goes forward.

What If The Insurance Company Doesn't Respond?

If your demand letter goes unanswered, the first step is to send a follow up letter to make sure your original demand letter was received. If you still get no response, your injuries are significant, and you're representing yourself, it may be time to think about hiring a personal injury attorney to make sure your case is in experienced hands.

What happens if an insurance company does not respond to a demand letter?

If a company does not respond – a rare, but not unheard-of occurrence – it is typical to follow up on the demand letter.

How long does it take for a personal injury lawyer to settle a lawsuit?

The negotiation process can take some time, up to several months. This is, however, a faster, easier, and cheaper process than going through the courts via a lawsuit.

Why can't two parties settle a claim?

This can be because the litigating party decides to reject the insurance company or defendant’s counteroffer. In rare cases, it can be because the defendant party does not respond to the demand letter in the first place.

What is the process of reaching a settlement?

Reaching a Settlement. The majority of civil suits settle long before a trial is necessary. The negotiation process is a multifaceted procedure that involves all parties meeting with their respective lawyers and discussing the case. Settlements depend on the strength of each side’s case, and their available resources.

How long does a trial last?

Once a trial date is set, the actual trial can last from a day to several weeks, depending entirely on the schedule of the judge, lawyers and parties. It is common for trials to be rescheduled frequently, often for simple reasons, and this is often why they take more than one day.

How long does it take to settle a lawsuit?

The discovery process can take anywhere from six months to a year, and the if the parties cannot reach a settlement, they may go before a mediator to arrange a settlement.

What is the process of litigation?

Firm News. The litigation process follows a relatively standard procedure once an attorney meets with a client. As the two negotiate, they determine when an appropriate time to issue demands will be. Initially, they have two choices – issuing a demand letter or going straight to a lawsuit.

What are the most common problems lawyers have with their clients?

Fees. Disputes regarding attorneys' fees are perhaps the most common problem that clients have with their lawyers. Fee disputes typically arise for many reasons, but the following are the most common: Complaints about bills being too high. Disagreements over what kinds of fees would be charged to the client.

What happens if my attorney doesn't respond to my question?

If your attorney does not respond within a business day, he or she should provide you with a reason why they were unable to answer your question (typically, if your lawyer is working on multiple cases, he or she may be tied down in court on some days).

What is lawyer communication?

Lawyer communication refers to the correspondence and communication between a client and his/her attorney. If you have a lawyer communication problem, you may be wondering if you have a bad attorney or if he or she is doing a poor job on your case. You should know that many states have laws regarding when and how a lawyer must communicate with clients.

How to communicate with a lawyer?

Lawyer communication, competency, ethics, and fees are important aspects of an attorney-client relationship. As a summary you can expect your lawyer to do the following: 1 Give you advice about your legal situation 2 Keep you informed about your case 3 Tell you what he or she thinks will happen in your case 4 Allow you to make the important decisions regarding your case 5 Give you an estimate about what your case should cost 6 Assist you in any cost-benefit analyses that you may need 7 Keep in communication with you 8 Inform you of any changes, delays or setbacks 9 Give you the information you need to make good decisions, and 10 Prepare you for your case, including deposition and trial preparation.

What is billing at an attorney's rate?

Billing at an attorney's rate for work done by a paralegal or legal secretary. Complaints regarding over-charging for time spent on a case. The first thing that you should do upon finding and hiring the right lawyer for your case is to make sure that you get the fee agreement in writing that you can understand.

What is competency in law?

In addition to lawyer communication problems, you may also have problems with the competency of your lawyer's work. Competency relates to the core knowledge and expertise of an attorney in handling a client's legal issue. You should remember that lawyers are not machines and they are just as capable of making a mistake as anyone else ...

What is legal demand?

The legal demand is the centerpiece of the injury settlement negotiation process.

When to consult with a personal injury lawyer?

Injured claimants will often benefit from seeking consultation with a personal injury immediately after they have returned home from an initial visit for medical treatment. After the initial interview, your lawyer will conduct an interview with you.

What is a demand letter for insurance?

The other party or their insurance company will use the demand letter to examine your claim. Often there will be an acknowledgement sent by the insurance company to confirm that the demand letter has been received. The demand letter, as highlighted earlier, is merely one of the first processes in claiming financial compensation for your injury. Often after the demand letter is received, the insurance company will respond after completing their initial evaluation with an initial offer. From that point the process of negotiating a settlement will commence.

What is demand letter?

The demand letter, as highlighted earlier, is merely one of the first processes in claiming financial compensation for your injury. Often after the demand letter is received, the insurance company will respond after completing their initial evaluation with an initial offer.

How long does it take to settle an injury lawsuit?

Injury lawsuit litigation can be intensive and take years to resolve. Claimants that decide to proceed with litigation must be aware of the amount of time that will be required to resolve their matter.

What happens after a personal injury?

Sending A Legal Demand After A Personal Injury. Personal injuries can cause a wide array of daily life disruptions. No one who has been involved in an accident and suffered a personal injury should be left to bear the financial consequences on their own. In instances where financial compensation suffices, insurance carriers must compensate ...

What to do before writing a demand letter?

Two of the important ones involve: Completing a total review if the medical records related to the claimant’s injuries. Review ing the facts of the incident to determine the exact way that the incident caused ...

What is holding up my demand letter?

Instead, the problem may lie with the insurance adjuster. They may be dealing with many cases at once, and that sometimes means that you won’t get as speedy a response for your questions and your letter.

How long does it take to get a response from insurance company?

Once you’ve written your demand letter and sent it on to the insurance company, the response time may vary. Typically, you can expect an answer within a few weeks. However, sometimes this process can take as long as a few months.

What happens if your insurance doesn't act in good faith?

When your insurer fails to act with your best interests in mind, or even tries to slow or refuse your claim for financial reasons, they may be acting in bad faith. They may be trying to make you feel that you have little option but to take whatever offer they eventually give you.

What happens if you meet with a lawyer?

If you have a meeting with your lawyer, there’s a good chance you took time off from work, secured childcare, or had other obligations that you changed or gave up in order to be at the meeting. Your lawyer shouldn’t waste your time, be unprepared, or mishandle your funds or documents.

Why is my lawyer not returning my calls?

Reason #1: Your lawyer isn’t returning your calls. Lack of communication is a big problem for some law firm clients. Yes, legal practices are very busy. They have lots of clients — not just you. However, before a lawyer signs on to take your case, they need to know if the firm has the capacity to handle it. There’s no excuse for not returning phone ...

Why is malpractice considered a legal malpractice?

Malpractice could be intentional or by accident. If your lawyer has done anything that has cost you the ability to win or settle your case, or that had a detrimental effect on your proceeding, it could be considered malpractice.

What happens if you file a motion for substitution of counsel?

If your case is already filed within the court system, you (or your new attorney) will need to file notice with the court that you are now represented by new counsel. Your new attorney will file a “motion for substitution of counsel” and your old attorney will file a motion to withdraw.

Why do I have to pay off my personal injury case?

Pay off your balance immediately because the lawyer could hold your case files until they receive payment. If you know your lawyer isn’t working for you, but you don’t have a second lawyer yet, please feel free to use the Enjuris Personal Injury Law Firm Directory to find a lawyer near you who can take your case.

Why do I retain legal counsel?

Reason #4: You disagree with your lawyer’s advice. You retain legal counsel because you need advice. However, the lawyer should still take your wishes into consideration. The lawyer could be pressuring you to accept a settlement that you think is too low to cover your costs after an accident.

How to terminate a contract?

Hire a new lawyer first, and then fire the old one. Write a termination letter. Any time you modify or terminate a contract, it must be in writing.

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