One of the most jarring “shots fired” warnings that a business can receive is a cease and desist letter. These communications are usually a demand that a company stops doing something and if the company fails to stop, the sender of the letter threatens legal action.
If you have received a cease and desist letter, it is critical you do not ignore it. Contact a business attorney right away. An attorney may be able to negotiate a resolution before the other party files a lawsuit.
A cease and desist letter is a warning sent from one party to the other that alleges some type of wrongdoing on the receiver’s part. The letter should detail the alleged wrongdoing and demand the receiver stop. The letter should also alert the receiver that failure to stop the wrongdoing will result in legal action and may even stipulate a deadline.
Cease and desist letters are usually drafted by attorneys in order to ensure the letter follows all legal requirements. Some of the more common reasons why a party might send a cease and desist letter include:
In cases where the accusations involve a new employee of a company who is accused of violating a non-compete agreement of their prior employer, that former employer may also send a cease and desist letter to the new employer.
Although a cease and desist letter has no legal standing (like a court order would), they are an important piece of evidence should the parties end up in litigation over the matter because the receiver did not stop the alleged wrongdoing.
If your company receives a cease and desist letter, it is critical that you do not ignore it. It is also critical that you contact a business law attorney immediately. Although it is important to respond to the letter, in order to ensure you are legally protected, you should have your attorney respond. Your attorney will be able to evaluate the allegations being made against you and determine if those allegations have any legal basis. Your attorney can draft a response to the letter, disputing the claims, requesting more information, or assuring the other party that their demands will be met. Your attorney can also engage in negotiations or litigation if these actions become necessary.
If you have received a cease and desist letter, call The Elliot Legal Group, P.A. at 754-332-2101 to schedule a confidential consultation with one of our dedicated Fort Lauderdale, FL business law attorneys.
Source:
https://www.law.cornell.edu/wex/cease_and_desist_letter
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