Document background
The Settlement Demand Letter is a crucial document in Indonesian commercial and civil dispute resolution, serving as a formal prerequisite before initiating legal proceedings. This document is typically used when informal attempts to resolve a dispute have failed, but before taking the matter to court. It must comply with Indonesian legal requirements for formal notices (somasi) as outlined in the Civil Code (KUHPerdata) and civil procedure regulations. The Settlement Demand Letter should clearly state the claim details, provide evidence, specify payment terms, and set deadlines for response or compliance. It's particularly important in Indonesian jurisdiction as courts often look for evidence of attempted amicable settlement before accepting litigation. The document needs to be precise, professional, and comprehensive while maintaining a tone that encourages settlement rather than escalation.
