The Preservation Demand Letter is a critical legal instrument used in Canadian jurisdictions when there is a reasonable anticipation of litigation and a need to ensure that relevant evidence is properly preserved. This document is typically sent before formal legal proceedings commence, putting the receiving party on notice of their obligation to prevent the destruction, alteration, or loss of potential evidence. The letter must detail the scope of preservation required, specific types of evidence to be preserved (including electronic data, physical documents, and other materials), and the potential legal consequences of failing to comply. It should reference relevant Canadian legislation, including the Canada Evidence Act, applicable provincial evidence acts, and privacy laws. The Preservation Demand Letter serves as a formal record of when the duty to preserve arose and what specific materials were identified for preservation, which can be crucial if spoliation issues arise later in the litigation.

1. Recipient Information and Date: Complete contact information of the recipient and date of the letter

2. Subject Line: Clear identification of the matter and purpose: 'RE: Legal Hold Notice and Demand for Preservation of Evidence'

3. Introduction: Identify the sender, their role, and the general purpose of the letter

4. Description of Dispute: Brief overview of the underlying dispute or potential legal action

5. Legal Duty to Preserve: Statement of legal obligation to preserve evidence and applicable laws

6. Scope of Preservation: Detailed description of what needs to be preserved

7. Preservation Instructions: Specific steps that must be taken to preserve the evidence

8. Duration of Hold: Time period for which the preservation obligation extends

9. Consequences: Explanation of potential consequences of non-compliance

10. Closing: Request for acknowledgment and contact information for questions