Employment Law Questions? Ask an Employment Lawyer.
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What you are describing is defamation. The best course of action is typically to retain a local attorney to draft a cease and desist letter on your behalf, threatening to sue this individual for defamation unless they immediately stop making false statements about you. Since they have nothing to gain from talking about you and much to potentially lose from being sued, the cease and desist letter will very likely stop them from continuing to spread lies.
Many local attorneys will write cease and desist letters like this for a flat fee between $300-500. You can locate an attorney here.
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