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Settlement Demand Letter for Singapore

Settlement Demand Letter Template for Singapore

A Settlement Demand Letter under Singapore law is a formal written communication that sets out a claim against another party and proposes terms for settlement. It serves as a pre-action document that complies with Singapore's civil procedure requirements and demonstrates a genuine attempt to resolve the dispute before commencing legal proceedings. The letter must adhere to Singapore's legal framework, including the Protection from Harassment Act and relevant civil procedure rules.

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Settlement Demand Letter

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What is a Settlement Demand Letter?

A Settlement Demand Letter is a crucial document in Singapore's legal landscape, typically used as a final attempt to resolve disputes before initiating formal legal proceedings. It must be drafted in accordance with Singapore's civil procedure requirements and relevant legislation. The letter should clearly state the claim, provide supporting evidence, and propose reasonable settlement terms. A well-drafted Settlement Demand Letter can demonstrate compliance with pre-action protocols, potentially save legal costs, and facilitate early resolution of disputes. It's particularly important in Singapore's litigation framework, which emphasizes alternative dispute resolution before court proceedings.

What sections should be included in a Settlement Demand Letter?

1. Recipient Details: Full name and address of the recipient, including any reference numbers

2. Claim Summary: Clear and concise statement of the dispute or claim being made

3. Factual Background: Chronological outline of relevant events leading to the current situation

4. Legal Basis: Legal grounds for the claim including relevant legislation and principles

5. Quantum Details: Exact amount being claimed with detailed breakdown

6. Settlement Proposal: Specific terms of proposed settlement including payment terms

7. Response Deadline: Clear deadline for response and consequences of non-response

What sections are optional to include in a Settlement Demand Letter?

1. Without Prejudice Statement: Protection statement to prevent the letter from being used as admission in court proceedings

2. Legal Proceedings Warning: Statement indicating intention to commence legal proceedings if settlement not reached

3. Interest Calculation: Detailed calculation of interest claimed on the outstanding amount

What schedules should be included in a Settlement Demand Letter?

1. Supporting Documents Schedule: List and copies of relevant contracts, correspondence, and invoices

2. Calculation Schedule: Detailed breakdown of amounts claimed including any interest calculations

3. Timeline Schedule: Chronological schedule of relevant events and correspondence

4. Previous Correspondence Schedule: Copies of relevant previous attempts to resolve the matter

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Singapore

Document Type

Demand Letter

Cost

Free to use
Relevant legal definitions















Clauses















Industries

Limitation Act 1959: Defines statutory time limits for bringing legal claims in Singapore. Must be checked to ensure the claim is within the limitation period.

Civil Law Act (Cap. 43): Primary legislation governing civil matters in Singapore, providing fundamental legal framework for civil claims and remedies.

Singapore Contract Law: Common law principles governing formation and enforcement of contracts in Singapore, essential for establishing validity of settlement terms.

Debt Collection Act 2018: Regulates debt collection activities and sets boundaries for acceptable collection practices in Singapore.

Moneylenders Act: Governs lending practices and related debt collection if the dispute involves licensed moneylenders.

Consumer Protection (Fair Trading) Act: Protects consumer interests and ensures fair trading practices, relevant if the settlement involves consumer transactions.

Rules of Court 2021: Procedural rules governing court proceedings in Singapore, important for understanding legal process and requirements.

Supreme Court Practice Directions: Detailed guidelines for court procedures in the Supreme Court, including settlement procedures.

State Courts Practice Directions: Procedural guidelines specific to State Courts, relevant for claims within their jurisdiction.

Protection from Harassment Act: Sets boundaries for acceptable communication, ensuring demand letter doesn't constitute harassment.

Law Society's Professional Conduct Rules: Professional standards for lawyers in Singapore, including guidelines for settlement negotiations.

Evidence Act: Governs standards for documentation and evidence that may be referenced in the demand letter.

Electronic Transactions Act: Regulates electronic communications and records, relevant if settlement communications are conducted electronically.

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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