This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Topics on this page.General Tips; Example of a Good Demand Letter; Example of a Bad Demand Letter. We request that this agreement be incorporated, but not merged, into a Judgment of Absolute. Divorce. Below is a sample demand letter from a medical malpractice case that thankfully settled before a lawsuit was filed. The names and parties have been changed. This Release and Settlement Agreement ("Agreement") is entered this __th day of.