This document provides a 10 step guide for handling a cease and desist letter. It begins by advising not to freak out as most do not result in lawsuits. It then recommends getting organized, determining how serious the situation is based on who sent it and their motivations, evaluating potential damages and costs, implications for business, and who is ultimately responsible. Finally, it discusses deciding how to respond by ignoring, calling, writing back, or agreeing, and realizing lawyers can't always prevent lawsuits.
Basics of Screen Actors Guild Commercials Contract and How it Applies to New ...
How to Handle a Cease and Desist - Ad Age Mini Law Lesson
1. Mini Law Lesson:
How to Handle a Cease and Desist
Brian Heidelberger
bheidelb@winston.com
Info @ www.winston.com/bheidelberger
2. IMPORTANT DISCLAIMER
• I am not your attorney.
• This is not legal advice.
• But I hope we can still be friends.
(offer not valid in AL and HI)
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3.
4. Step #1: Don’t Freak Out!
• Almost All Cease and Desist Letters Don’t
Result in a Lawsuit
• Many Cease and Desist Letters Don’t
Cost Big Money to Resolve
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5.
6. Step #2: Get Organized
• Get All Documents and Correspondence
• Check Your Insurance Coverage and Put
Your Insurance Company on Notice (if
the claim is serious enough)
• Watch What You Say in Email
• Call a Lawyer
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7.
8. Step #3: Determine How Serious
They Are
Who’s It From and What’s Their
Standard M.O.?
Competitor of Advertiser
Copyright/Trademark/Patent Owner
Celebrity
FTC/State Attorney General
Plaintiff’s Class Action Attorney
Screen Actors Guild
9. Step #4: Determine
How Serious They Are?
What’s Their Motivation?
Just Put You On Notice/Reserve Their
Rights
Scare Tactic
Taking a Shot at Getting $$ from a
Deep Pocket
Actually Stopping Your Advertising
Securing Damages
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10.
11. Step #5: Determine
the Potential Damages and Legal Costs
• Monetary Penalties
Fines
Consumer Restitution
Damages
Profits
• Consent Order/Settlement Agreement
• Legal Fees
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12. Step #6: Determine the
Potential Business Implications?
• How Long Does the Campaign Have Left
to Run?
• How Much Will it Cost to Change?
• How Upset Will Your Client/Boss Be?
• Are You Covered by Insurance and
What’s the Deductible?
• What’s the PR Implications of a Change
and/or Lawsuit?
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14. Step #7: Determine Who’s
Ultimately Responsible?
• The Agency?
• The Client?
• A Third Party Vendor ?
Subcontractor
Music/Photo licensor
Production company
• The Answer Lies in Your Contracts
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15. Step #8: Decide How
to Respond?
• Three Options
Ignore
Call ‘Em
Write Back and Tell Them Why they Are
Wrong
Agree to Cease and Desist and Agree to
Their Additional Legal/Financial Demands
• May Ultimately Be a Combination of All Three
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16. Step #9: Realize Even The Best Lawyers
Can’t Always Prevent a Lawsuit
• Make Sure All your Contracts Are
Reviewed
• Check Your Insurance Coverage
• Make Sure Your Deductible Works for
You
• Make Certain All Risk Decisions Are
Elevated to the Right People
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17. Step #10: Be Happy
There Are Only 9 Steps!
• Cross Your Fingers
• Hold Your Breath
• Never Speak of it Again
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