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Contract Glossary

Cease and Desist

Definition

A formal demand — usually in letter form — ordering someone to stop (cease) a specific activity and not resume it (desist). While not a court order itself, a cease and desist letter signals that legal action will follow if the behavior continues. Think of it as a final warning before a lawsuit.

In Practice

You discover a former employee is sharing trade secrets with a competitor despite signing an NDA. Before filing a lawsuit, your attorney sends a cease and desist letter demanding they stop disclosing confidential information immediately. The letter outlines the NDA terms being violated, the specific conduct that must stop, and a deadline to comply. About 60% of the time, a well-drafted cease and desist resolves the issue without litigation — it demonstrates you're serious and creates a paper trail for court if needed.

Example Clause

You are hereby directed to immediately cease and desist from any and all activities that constitute a breach of the Non-Disclosure Agreement dated [Date] between [Party A] and [Party B], including but not limited to the disclosure, dissemination, or use of Confidential Information as defined therein. Failure to comply within [number] business days of receipt of this notice shall result in [Party A] pursuing all available legal remedies, including injunctive relief and monetary damages.

Frequently asked questions about cease and desist

No. A cease and desist letter is not a court order — it's a formal demand from one party (or their lawyer) to another. Ignoring it won't result in contempt of court. However, it creates a documented record that the recipient was warned, which strengthens the sender's case if they do file a lawsuit. Courts look favorably on parties who gave fair warning before litigating.

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This content is for informational purposes only and does not constitute legal advice. For contracts with significant financial or legal implications, review by a qualified attorney is recommended.