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A cease-and-desist letter is a formal notice to stop illegal activities such as trademark or copyright infringement, harassment, trade secret violations, or defamation. It serves to inform individuals or entities that they are engaging in unlawful actions, eliminating claims of ignorance. The letter should be sent when there is a clear violation of rights or law, making the offender aware and providing grounds for legal action if necessary. Common mistakes include failing to clearly specify the illegal activity, not including a deadline for compliance, or sending it without proper evidence. It's important to send this letter through a business attorney to ensure it is legally sound and effective.