Cats are clean animals and usually do their business in a litter box and even cover it up after. If they litter outside of the box, it is a sign that there is a problem.
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Hopefully, it just means your cat doesn’t like the litter box or its location. Before you panic, try changing the box and moving it to a different part of the house. If this doesn’t change anything, it’s time to take your kitty to the vets as there may be an underlying health problem.