This wankers are complete idiots. Morons. I come to you and write a letter, saying stop X. It means nothing. I can burn it, eat it, trash it. A ceast and desist letter has NO legal authority. NONE.
All it shows, is that prior to doing a lawsuit, you as a company attempted to mitigate the damages, by telling them to stop. If they just stop, there are no damages, so no reason for a lawsuit, they could not win squat.
If they tell you to stop, you don't, AND YOU WIN, you can then say, after we told them to stop, they did this much more.
The biggest point, is this Video, will make any Jury, LESS sympathetic to them. Frankly I think the video would make them loosing in front of a jury, very likely.
morons at best.