Cease-and-Desist Letters
Whether received or issued: in competition law cease-and-desist letters, speed and a clear strategy are essential.
What a competition law cease-and-desist letter demands
A cease-and-desist letter is an out-of-court demand to stop infringing conduct in the future. It is issued by competitors or qualified trade associations and almost always contains four demands:
- Injunction – with a penalty-backed undertaking
- Disclosure of the nature and extent of the violation
- Acknowledgement of liability for damages
- Reimbursement of cease-and-desist costs
Typical grounds: misleading advertising or price information, defective T&Cs or missing mandatory disclosures, unfair practices on online marketplaces, unlawful top-position claims such as "No. 1" or "test winner".
Received a cease-and-desist letter – what now?
Is the cease-and-desist letter actually justified? Not every cease-and-desist letter is legally sound. We assess whether a competition violation actually exists, whether the sender has the right to issue the letter and whether all formal requirements have been met.
Is the cease-and-desist undertaking too broadly worded? The attached undertaking almost always goes beyond what is legally necessary. Anyone who signs it unchanged commits to more than necessary – with long-term consequences.
What are the alternatives? Depending on the individual case, a modified cease-and-desist undertaking, a protective brief or entering settlement negotiations may be the better solution. We advise you – and act immediately where necessary.
Taking action against competitors
When a competitor gains an advantage through unfair practices, this harms not only you but distorts the entire market. We review your competitors' conduct for compliance with the UWG (Unfair Competition Act) and develop a strategy that acts quickly and is legally sound.