The difference between direct and indirect speech is best
understood by looking at examples of each.

Direct
Juan dice, "“hay un ratón en mi casa”".
Juan says, "There is a mouse in my house."

Indirect
Juan dijo que había un ratón en su casa.
Juan said that there was a mouse in his house.

Direct
Juan dice, "dame una ratonera".
Juan says, "Give me a mousetrap."

Indirect
Juan me dijo que le diera una ratonera.
Juan told me that I (should) give him a mousetrap.

Note! Indirect speech requires a different form for reporting
information and reporting a favor.

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