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Combat within Second Life is only permitted in combat or "damage" enabled areas. You can tell if the area you are in is a combat-enabled one by looking at the top of your screen. If there is a heart symbol there, then you are somewhere that you can take damage - a combat area. If no heart, you are in a safe area.
Both the person shooting and the person being shot at have to be within damage-enabled land for it to be permitted, if either party is on or over safe land, it can be considered a violation and can result in disciplinary action.
There are several areas on both main grid and teen grid that are set aside for combat. These damage-enabled regions can be found using your Map window and entering Combat into the region search.