The first step in most controversies is to inform the other party that the controversy exists. Attorneys would refer to this as presenting a demand.
Some demand letters threaten a lawsuit.
Other demand letters set forth the controversy, a proposed resolution, and an offer to submit the controversy to an arbitrator or mediator. If informal negotiation between the parties fails to yield resolution, the aggrieved party may request that the other parties participate in either arbitration or mediation. If all parties agree, arbitration or mediation will be conducted. The initial step in alternative dispute resolution is the selection of the arbitrator or mediator. A lawsuit is started by filing a complaint in a court of law.