The Settlement Demand Letter is a crucial document in Swiss commercial and civil practice, used when formal attempts to collect a debt or resolve a dispute are necessary. It serves as a prerequisite to legal action under Swiss law, demonstrating good faith attempts to resolve the matter before court proceedings. The document must be crafted in compliance with Swiss legal requirements, particularly the Swiss Code of Obligations and the Debt Enforcement and Bankruptcy Act. A well-drafted Settlement Demand Letter includes clear identification of parties, precise claim details, payment terms, and deadline for response, while maintaining the possibility of amicable resolution. It's particularly important in Swiss jurisdiction as it can affect subsequent legal proceedings and debt enforcement actions.
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1. Sender Details: Full legal name, address, and contact information of the demanding party
2. Recipient Details: Full legal name, address of the debtor/opposing party
3. Date: Current date of the letter
4. Reference Line: Clear subject line identifying the matter
5. Claim Identification: Specific details of the underlying claim or dispute, including relevant dates, contract references, or incident details
6. Amount Demanded: Clear statement of the exact amount being demanded, including any interest calculations and basis for the amount
7. Legal Basis: Brief reference to the legal grounds for the claim under Swiss law
8. Payment Terms: Specific payment deadline (typically 10-30 days under Swiss practice) and payment instructions
9. Consequences of Non-Payment: Clear statement of intended legal actions if payment is not received by the deadline
10. Closing: Professional closing including signature block and any professional titles
1. Previous Correspondence: Reference to prior attempts to resolve the matter, used when there has been previous communication
2. Interest Calculation Details: Detailed breakdown of interest calculations, used when claiming significant interest amounts
3. Settlement Offer: Specific terms of potential settlement if offering a discount or payment plan, used when willing to negotiate
4. Without Prejudice Statement: Statement preserving legal rights, used when including settlement negotiations
5. Power of Attorney Reference: Reference to legal representation authority, used when sent by a lawyer
1. Statement of Account: Detailed breakdown of the amounts owed
2. Supporting Documentation: Copies of relevant contracts, invoices, or other documents proving the claim
3. Calculation Sheet: Detailed calculations of interest and other charges
4. Payment Instructions: Detailed banking or payment information
5. Proof of Prior Correspondence: Copies of previous demands or relevant communication
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