cease and desist order

A cease and desist order is a legally binding directive by an administrative agency that requires a person or an entity to stop specified conduct. It is used in many areas of law including Labor and Employment LawSecurities LawEducation Law. A cease and desist order is different from a cease and desist letter.

An administrative law judge often has the discretion to decide whether to issue the order. A cease and desist order that is issued prior to a hearing or without judicial proceedings is called a summary cease and desist order. The violator must request a hearing within a certain period of time, otherwise, the order may become final.

Under California Corporations Code, if a person or entity does not comply with an order, the commissioner may petition the superior court or any court of competent jurisdiction to enforce the order. The court may not require the commissioner to post a bond in an action or proceeding under this section. If the court finds, after service and an opportunity for a hearing, that the person was not in compliance with the order, the court may hold the person in civil contempt.

Under Florida Security for Public Deposits Act, any qualified public depository or other bank, savings association, or financial institution or custodian that violates a cease and desist order or corrective order of the Chief Financial Officer is subject to an administrative penalty not exceeding $1,000 for each violation of the order. Furthermore, the violation of any order to cease and desist is a misdemeanor of the second degree, punishable as provided by statute.

[Last reviewed in August of 2026 by the Wex Definitions Team]

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