The singer's lawyers claimed that no authorisation was given to use the 1981 track at the President's event in Des Moines on Wednesday.
In a statement made to Consequence of Sound, legal representatives for Collins confirmed an order had been served.
A spokesman added: "Yes we are well aware of the Trump campaign’s use of this song and we have already issued a ‘cease and desist’ letter via our lawyers who continue to monitor the situation."
Collins has previously spoken out against Mr Trump and in the run-up to the 2016 election, the “Take Me Home” singer told Billboard the President “is a big accident waiting to happen”.
He is not the first artist to take objection to having music playing at Mr Trump's campaign events in 2020.
Musicians including Neil Young, Panic! At The Disco, The Rolling Stones, Linkin Park, Dexys Midnight Runners, and the estate of Tom Petty, have all spoken to the President about this issue, NME reported.
Some have also followed up with legal action, the publication said.