Demand Letter: DIY vs. Hiring a Lawyer

The Basic Question

When you need to send a demand letter, you have three main options:

• Write it yourself (DIY) - Free except for your time
• Use a demand letter generator - Free or low-cost, with templates
• Hire an attorney - Professional quality, but costs money

When DIY Demand Letters Make Sense

Writing your own demand letter works well when:

The Amount Is Small
If you're owed $500, spending $300-500 on attorney fees doesn't make economic sense.

The Facts Are Simple
"You didn't return my security deposit" or "You haven't paid this invoice" are straightforward claims that don't require legal expertise.

There's Clear Documentation
When you have a signed contract, receipts, or clear evidence, you don't need a lawyer to explain the situation.

It's a Common Dispute
Consumer complaints, security deposits, small debts, and similar routine matters are well-suited to DIY letters.

The Recipient Isn't Sophisticated
Demanding money from an individual or small business is different than taking on a large corporation with a legal department.

When to Consider Hiring a Lawyer

Attorney involvement makes sense when:

Large Amounts Are at Stake
If you're claiming $10,000+, the investment in legal help may be worthwhile.

Complex Legal Issues
Contract interpretation disputes, professional malpractice, or claims involving multiple legal theories benefit from legal expertise.

The Other Side Has Lawyers
If you know the recipient has legal representation, leveling the playing field may be important.

You Need to Establish a Record
A letter on attorney letterhead can carry more weight and may be more intimidating.

Litigation Is Likely
If you expect to end up in court regardless, having an attorney involved from the start provides continuity.

Business or Employment Disputes
Wrongful termination, partnership disputes, or commercial contract issues often have legal nuances worth professional review.

Cost Comparison

DIY Demand Letter

• Cost: Free (just postage)


• Time: 1-3 hours of your time


• Quality: Depends on your writing ability

• Cost: Free or low-cost


• Time: 15-30 minutes


• Quality: Professional template with customization

• Cost: $200-500+ for a simple letter


• Time: 1-2 weeks turnaround


• Quality: Professional legal formatting

• Cost: $1,000-5,000+ for handling the matter


• Time: Varies


• Quality: Full legal representation

The "Letterhead Effect"

Does a letter on attorney letterhead work better than one you write yourself? Sometimes.

When Attorney Letterhead Helps:

• Dealing with businesses that have legal departments


• The recipient has previously ignored your communications


• You want to signal readiness to litigate


• Complex or high-value disputes

• Simple disputes with individuals


• Clear-cut situations with strong documentation


• Small dollar amounts


• Situations where you'd prefer to preserve the relationship

Hybrid Approaches

You don't have to choose between doing it all yourself and hiring a lawyer for everything.

Attorney Review
Write the letter yourself, then pay an attorney $50-150 to review it and suggest improvements.

Unbundled Services
Some attorneys will draft a letter without taking on the full case, for a flat fee.

Legal Aid
If you qualify (usually income-based), free legal aid may be available to help with your demand letter.

Use a Generator, Then Escalate
Start with a DIY or generator letter. If that doesn't work, then consider attorney involvement for next steps.

Consultation First
Many attorneys offer free or low-cost consultations. Get advice on your situation before deciding how to proceed.