Lawmakers in New Jersey, New York, Massachusetts, Ohio, Pennsylvania, and Louisiana have proposed legislation clarifying that property policies’ business interruption coverage extends to losses attributable to the coronavirus pandemic and social distancing. These bills allow Continue Reading
FEMA Opens a Door and Closes a Window: A Primer on FEMA’s Broad Efforts to Obtain and Retain Medical Supplies to Combat COVID-19
Guidance to Lenders on Documentation to Close PPP Loans
Since April 3, 2020, the Small Business Administration (SBA) has approved more than 100,000 small business applicants for the new Paycheck Protection Program (PPP) loans. Despite the high number of approved applicants, few loans have been disbursed due to lender uncertainty as to how PPP loans will Continue Reading
Implications of COVID-19 Pandemic for Municipal Bond Transactions
The COVID-19 pandemic is affecting municipal borrowers, including state and local governmental entities and conduit borrowers, as unexpected expenses grow and expected revenue declines as a result of stay-at-home and other similar mandates. Issuers and conduit borrowers likely will encounter in the Continue Reading
Investors Beware: Avoid Knee-Jerk Response to Eliminate Investor Protective Provisions Without First Determining If They Negatively Impact PPP Eligibility
As small businesses backed by venture capital or private equity analyze whether they may qualify for the benefits of the SBA Paycheck Protection Program (PPP), we are starting to see “knee-jerk” reactions by many of these small businesses asking or demanding that their investors eliminate key (and Continue Reading
McCarter Attorney Leads Efforts for Further Relief from the IRS
On April 6, 2020, the American Bar Association Section of Taxation submitted additional comments to the IRS (available here) requesting further relief for taxpayers affected by the COVID-19 emergency. The requested relief includes, but is not limited to: a complete suspension of all Continue Reading
Delaware Offers Relief To Corporations With Already Noticed Annual Stockholder Meetings By Authorizing A Change to Remote Means
On Tuesday, April 6, 2020, in response to the COVID-19 pandemic, Delaware Governor John C. Carney issued a Tenth Modification of his Declaration of State of Emergency (the “Tenth Modification”) that temporarily modified the requirements under the Delaware General Corporation Law (“DGCL”) obligating Continue Reading
NJEDA Program Offering $100,000 Working Capital Loans to Qualified New Jersey Small Businesses
The New Jersey Economic Development Authority (“NJEDA”) has recently announced a series of economic relief packages to help small businesses in the state. Earlier last week, NJEDA launched its Small Business Emergency Assistance Grant Program, which was oversubscribed in a few days. On Continue Reading
Affiliation Rules and the Paycheck Protection Program
The SBA Paycheck Protection Program (PPP) was enacted to provide loans to small businesses to protect and maintain jobs. For those small businesses backed by venture capital or private equity, however, the affiliation rules make it much harder, if not impossible, to obtain the benefits of this Continue Reading
Attention Mid-Sized Businesses: Financial Relief Is Coming for You Too!
Relief for mid-sized businesses covered in Title IV of the CARES Act has been overshadowed by discussions of that provided for small businesses. This alert covers relief available to businesses and non-profit organizations with 500 to 1,000 employees. As a result of the Coronavirus Aid, Relief, Continue Reading