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A cease-and-desist letter is a formal notice to an individual or organization to stop engaging in illegal activities, such as trademark or copyright infringement, harassment, trade secret violations, or defamation. It serves to inform the recipient that the sender is aware of the illegal activity, ensuring they cannot claim ignorance after receiving the letter. Common mistakes include sending the letter without sufficient evidence or not clearly stating the illegal activity. It’s typically sent by individuals or legal representatives when there is a legitimate reason to believe unlawful actions are occurring. Understanding the appropriate context and timing for sending such a letter is crucial for effectiveness.