If you own a business, you’re bound to eventually have some kind of dispute with another party – whether that’s a competitor infringing on your intellectual property, a former employee publicly defaming you or a client breaching their contract.
Before you jump straight to litigation, it’s often worthwhile to consider sending a cease-and-desist letter. While not anything enforceable, a cease-and-desist letter is a formal way of asking the other party to cease their wrongful actions right away and desist from such behavior in the future.
What purpose does the letter serve?
The primary value of a cease-and-desist letter is that it can often curtail full-scale litigation. In some cases, the recipient may not even be aware that their actions are infringing upon your business or are illegal. A cease-and-desist letter gives them a chance to correct their course and avoid a lawsuit, and it generally signals the recipient that you are taking the matter seriously and will pursue additional legal action if you must.
For your purposes, sending a cease-and-desist letter means you may resolve the dispute a lot faster and less expensively than you would in litigation. You also avoid the hassle of going to court. Even if the cease-and-desist letter doesn’t accomplish your end goal, it creates a formal record of your effort to address the problem. If you do have to eventually move to litigation, you can show the court that you tried to handle the issue reasonably from the start.
Sometimes, a cease-and-desist letter will solve an issue. Other times, it merely opens the door to productive negotiations – but it always helps you protect your business interests. Legal guidance can prove invaluable in these situations.