Download a letter of intent to sue (with settlement demand) to inform a defendant that you will sue if they don't pay a settlement amount. A letter of intent to sue (with settlement demand) notifies an individual that the sender intends to file a lawsuit against them.This program will help you write a letter that formally requests the money you are owed. This is called a Demand Letter. In a settlement demand letter, you state your claim for compensation. Remember, a claim is different from a lawsuit. Tips for creating a small claims demand letter. Write an effective intent to sue letter. Includes sender and recipient details, dispute description, settlement demand, deadline, and governing law. What is a letter of intent to sue a civil action?