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Legal Effect of a Cease and Desist Letter
A cease and desist letter is not legally binding and doesn’t have immediate consequences for the breaching party. However, it shows that the recipient was notified of the violation and given a chance to fix it. If they don’t comply, the letter can strengthen the sender’s legal case.
Things to Consider Before Sending
A few things should be considered before sending a cease and desist letter for breach of contract:
- A breach of contract claim is baseless without a valid agreement between the parties.
- Some contracts outline procedures for handling breaches.
- While there is no deadline for sending a notice to cease and desist, there is a statute of limitations for filing a breach of contract lawsuit.
- The letter should be sent to the person or business that entered into the contract, even if the violation resulted from a third party’s actions.
*Certain types of contracts, like those to buy and sell real estate, must be in writing to be legally enforceable.[1]
Sample
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NOTICE TO CEASE AND DESIST
[SENDER’S NAME]
[SENDER’S STREET]
[SENDER’S CITY, STATE, & ZIP]
Date: [MM/DD/YYYY]
Re: Breach of Contract
Dear [RECIPIENT’S NAME],
This letter is served upon you due to your breach of the [AGREEMENT TITLE] (“Agreement”) that was entered into on [DATE].
You freely executed a valid contract that was breached by: [DESCRIBE CONTRACT VIOLATION].
If you fail to cease and desist the above-described breach, without further notice to you, we shall take such legal action as we deem necessary to assert our rights.
We expressly reserve all our equitable and legal rights and remedies, including the right to seek injunctive relief and recover monetary damages.
We wish to receive your assurances that you have ceased the breach, accompanied by proof, by [DATE].
Sincerely,
________________________
[PRINTED NAME]