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The Letter of Demand Small Claims Court is a crucial document in the Australian legal system, used when attempting to recover debts or resolve disputes before proceeding to formal legal action. It is typically employed when other attempts to resolve the matter have failed, but before initiating proceedings in the Small Claims division of the relevant state or territory tribunal. The document must clearly state the claim amount, which must fall within the small claims threshold for the specific jurisdiction (varying by state/territory, typically between $10,000 to $25,000). It serves multiple purposes: formally documenting the demand, demonstrating reasonable attempts to resolve the dispute, and potentially being used as evidence in subsequent tribunal proceedings. The letter should be drafted with careful attention to detail, including all relevant facts, dates, amounts, and supporting evidence, as it may later be presented to the tribunal as evidence of attempted resolution.

1. Sender Details: Full name, address, and contact information of the person/entity making the claim

2. Recipient Details: Full name, address of the person/entity the demand is being made against

3. Date: Current date of the letter

4. Subject Line: Clear identifier of the letter's purpose - 'Letter of Demand - Small Claims Court'

5. Claim Details: Specific details of what is owed, including exact amounts and what they relate to

6. Background of Dispute: Brief chronological explanation of the events leading to the claim

7. Legal Basis: Reference to relevant laws or contractual obligations that support your claim

8. Demand Statement: Clear statement of what is being demanded and by when

9. Payment Details: Bank account or payment method details for settling the claim

10. Legal Action Warning: Statement indicating intent to proceed to Small Claims Court if demand is not met