Covid-19 Alerts

As the United States slowly emerges from the Covid-19 Pandemic (“Pandemic”), many U.S. companies are re-evaluating their post-Pandemic employee and staffing needs. The results of such re-evaluations will directly impact how many square feet of commercial office space the respective companies will require to operate of their businesses. Specifically, due to the Pandemic’s impact and…
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On December 17, 2021, the U.S. Court of Appeals for the Sixth Circuit vacated the stay of the Occupational Safety and Health Administration’s (OSHA) Emergency Temporary Standard (ETS) on workplace COVID-19 vaccinations and testing. The ETS was initially published in the Federal Register on November 5, 2021. However, it was immediately challenged, and the following…
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Yesterday, President Biden announced new vaccination requirements impacting both the federal and private sectors. In addition to Executive Orders covering federal employees and federal contractors, the President also announced that he was directing the Department of Labor’s Occupational Safety and Health Administration (OSHA) to draft a new emergency standard requiring businesses with over 100 employees…
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A recent case in Delaware is instructive of the challenges a buyer may face should they refuse to close a pending acquisition following the entry into a stock purchase agreement, with a debt financing commitment letter in hand, based on alleged breaches of typical “material adverse effect” clauses and “ordinary course of business” operating covenants.…
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On Wednesday, May 5, 2021, a federal judge struck down the nationwide moratorium on residential evictions put into place by the U.S. Centers for Disease Control and Prevention (the “CDC”) that had been in effect since September 4, 2020, and which was extended through June 30, 2021 by President Biden on his first day of…
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As previously reported by DarrowEverett, the Small Business Reorganization Act of 2019, created Subchapter V of chapter 11 of the Bankruptcy Code, which became effective on February 19, 2020 (11 U.S.C. §§ 1181-1195 “Subchapter V”). Subchapter V focuses on small business debtors and aims to remove some of the complexity and costs associated with a traditional…
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The Internal Revenue Service (“IRS” or the “Service”) announced yesterday that it was extending the filing and payment deadlines for individual 2020 tax returns and federal tax payments for 2020 due on April 15, 2021 to May 17, 2021. In its announcement, the IRS said it would be providing formal guidance in the days to come. The Service…
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With the Biden Administration installed in the White House, and Democratic control established in both houses of Congress, it is much more likely that President Biden will propose significant Estate Tax reform. This article focuses on potential Biden Administration changes to laws governing: (a) the Estate Tax personal exemption and (b) the step-up in tax basis…
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The December 27, 2020 CARES Act Amendment (“CAA”) to the original COVID-19 CARES Act relief package includes several temporary amendments to the Bankruptcy Code designed to provide additional relief to bankruptcy debtors and additional protections for commercial landlords and suppliers adversely impacted by the COVID-19 pandemic. Key provisions include: Bankruptcy Debtor Eligibility for CARES Act…
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Since the onset of the COVID-19 pandemic, courts throughout the country have faced unprecedented challenges to their goal of providing an avenue for justice to litigants. As the pandemic continues to unfold, state and federal courts have struggled with the logistical hurdles that come with court closures and changing procedural rules as states take measures…
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Twenty twenty-one will be a big year for businesses and not just because of COVID-19. With the election over and the inauguration forthcoming, we wanted to bring you a brief forecast of what businesses can expect during the Biden Administration. While the President-Elect’s transition platform provides clues, the Administration’s future business and employment policy goals…
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The U.S. Treasury and Small Business Administration (“SBA”) officially reopened the Paycheck Protection Program (“PPP”) on January 11, 2021, but with a caveat. PPP funds are initially only available for those for businesses applying through community financial institutions (“CFI”) that typically serve the concerns of traditionally underserved small businesses. The SBA has announced that this…
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The COVID-19 pandemic has broadly impacted the residential real estate industry in both the context of overall market conditions and in the context of the structure and logistics of individual transactions. In February and March of 2020, many state and local governments initially responded to the pandemic by instituting shutdowns that severely limited economic activity…
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Employers across the country are looking towards a time when business operations can return to pre COVID-19 operations. While there is no clear guidance as to when this will occur, many states are beginning to formulate plans to relax workplace restrictions. The following is an update as to the status of economy reopening in Massachusetts, Connecticut,…
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While the Coronavirus has struck all aspects of the economy, hotels and motels are in a unique situation; they are considered an essential service and can stay open but more and more, the economics of staying open are simply not viable. Before widespread implementation of ‘Stay at Home’ orders due to the COVID-19 pandemic, average…
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As various states (and local governments) begin (and continue) lifting or loosing up the stay-at-home restrictions, restaurants and other food and beverage retailers throughout the United States are now dealing with new legal challenges, regulatory compliance and operational impediments. Nearly all restaurants and other food and beverage retailers have taken a substantial hit as a result…
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With the rapid pace within which the COVID-19 situation unfolded during the prior 6 weeks, employers were caught off guard and not afforded the luxury of careful planning typically associated with layoffs. Now that things have begun to normalize, employers should take care to evaluate which actions may have triggered obligations under the Federal Worker Adjustment…
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The Tax Cuts and Jobs Act, enacted in December 2017, created a national Opportunity Zone program to provide significant Federal tax incentives, including foregoing capital gains taxes, for investors who invest long term in 8,700 historically distressed neighborhoods throughout the United States that have been designated as Opportunity Zones by the Governor of each State…
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Many industries have been upended by the Coronavirus epidemic and the local, state and national government response. Because of the fundamental role real estate plays in our economy and the broad umbrella of activity that falls under the category of “real estate development”, developers, property owners and tenants have been particularly impacted. Landlords, tenants, contractors,…
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In the past month many employers have been forced to learn to manage the COVID-19 threat while continuing operations. Employers that shut down operations are going to be confronted with the same challenges, as they prepare to reopen once government ordered lockdowns are lifted. This alert addresses some recent guidance and regulations issued under federal law. While…
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Apart from the profound human toll COVID-19 has taken, many elements of the economy have, as a result of the pandemic and lockdown, been temporarily “closed for business”. Global supply chains have been disrupted, mergers and acquisitions activity chilled, financing commitments evaporated and investment valuations dropped. While many investors have been anticipating – and amassing…
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The retail industry was already hurting badly in 2019 (it was often referred to as a “retailpocalypse”), leading to bankruptcy filings by Model Sporting Goods, Pier 1 Imports, Barneys New York, and Payless ShoeSource, just to name a few… and that was before the COVID-19 pandemic. No industry is immune from the impact of the…
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Following the implementation of the Paycheck Protection Loan Program for certain small businesses by the Small Business Administration under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), on April 9, 2020 the Board of Governors of the Federal Reserve System announced the terms of two new Main Street Lending Program credit facilities…
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The federal government has taken several direct and indirect measures through legislation and regulation to assist those most vulnerable to the economic effects of the coronavirus pandemic, including small businesses, the workforce, health care providers, and patients. In particular, under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), the $349 billion Paycheck…
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On March 30, 2020, DarrowEverett LLP issued a client alert on the new Payroll Protection Loan. On April 2, 2020, the U.S. Small Business Administration (SBA) issued in advance of publication an Interim Final Rule providing additional guidelines and requirements under the Paycheck Protection Loan Program. SBA Interim Final Rule The Interim Final Rule is immediately…
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Expanded Access for Businesses Seeking Streamlined Subchapter 5 Bankruptcy Protection As many are aware, Congress recently enacted the Small Business Reorganization Act (“SBRA”), effective on February 19, 2020, to add a new subchapter to the United States Bankruptcy Code, commonly referred to as Subchapter 5. The SBRA was designed to reduce the cost and expense for…
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Excluded from Gross Income, but No Deduction of Expenses for forgiven Paycheck Protection Loans The hallmark of the Paycheck Protection Loan Program (“PPP”) under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), is that certain payroll costs (other than salaries, wages and tips in excess of $100,000 in annualized pay per employee,…
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These recent weeks have certainly brought unexpected change and disruption into our lives.They have ushered in unprecedented challenges, to be sure, but they have also revealed a palpable and growing spirit of community and solidarity to embrace. We are in this together and change really is the only constant in our lives. DarrowEverett is ready…
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Many industries have been upended by the Coronavirus epidemic and the local, state and national government response. Because of the fundamental role Real Estate plays in our economy and the broad umbrella of activity that falls under the category of “Real Estate Development”, developers, property owners and tenants have been particularly impacted. Landlords, tenants, contractors,…
Read more

Many industries have been upended by the Coronavirus epidemic and the local, state and national government response. Because of the fundamental role Real Estate plays in our economy and the broad umbrella of activity that falls under the category of “Real Estate Development”, developers, property owners and tenants have been particularly impacted. Landlords, tenants, contractors,…
Read more

In an effort to alleviate the effects of the Coronavirus on the US economy, the CARES Act provides financial relief to eligible companies impacted by the Coronavirus pandemic. Below is an overview of provisions relating to Paycheck Protection Loans, Economic Injury Disaster Loans, Employer Payroll Tax Deferrals, and Employee Retention Tax Credits under the CARES…
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In an effort to alleviate the effects of the Coronavirus on the US economy, the CARES Act provides financial relief to eligible companies impacted by the Coronavirus pandemic. Below is an overview of provisions relating to Paycheck Protection Loans, Economic Injury Disaster Loans, Employer Payroll Tax Deferrals, and Employee Retention Tax Credits under the CARES…
Read more

Dear Friends, These recent weeks have certainly brought unexpected change and disruption into our lives. They have ushered in unprecedented challenges, to be sure, but they have also revealed a palpable and growing spirit of community and solidarity to embrace. We are in this together and change really is the only constant in our lives.…
Read more

On March 18, 2020, President Trump signed into law the Families First Coronavirus Response Act, H.R. 6201 (the “Act”). The Act will become effective no later than April 2, 2020 and will require all employers with less than 500 employees to provide employees with paid leave under various situations. This alert is meant to provide a…
Read more

Dear Friends, These recent weeks have certainly brought unexpected change and disruption into our lives. They have ushered in unprecedented challenges, to be sure, but they have also revealed a palpable and growing spirit of community and solidarity to embrace. We are in this together and change really is the only constant in our lives.…
Read more

On March 18, 2020, President Trump signed into law the Families First Coronavirus Response Act, H.R. 6201 (the “Act”). The Act will become effective no later than April 2, 2020 and will require all employers with less than 500 employees to provide employees with paid leave under various situations. This alert is meant to provide a…
Read more

On March 18, 2020, President Trump signed into law the Families First Coronavirus Response Act, H.R. 6201 (the “Act”). The Act will become effective no later than April 2, 2020 and will require all employers with less than 500 employees to provide employees with paid leave under various situations. This alert is meant to provide a…
Read more

On March 22, the Board of Governors of the Federal Reserve System (FRB), the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), the Office of the Comptroller of the Currency (OCC), the Consumer Financial Protection Bureau (CFPB), and State Banking Regulators (together, the Agencies) issued an Interagency Statement on Loan Modifications and Reporting…
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On March 22, the Board of Governors of the Federal Reserve System (FRB), the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), the Office of the Comptroller of the Currency (OCC), the Consumer Financial Protection Bureau (CFPB), and State Banking Regulators (together, the Agencies) issued an Interagency Statement on Loan Modifications and…
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With COVID-19 continuing to impact all of our businesses and lives, we have conducted a review of our operations and have undertaken a variety of precautionary measures to ensure we are able to maintain the same level of dedication, advocacy and effort on behalf of our clients that you have come to expect from us…
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With COVID-19 continuing to impact all of our businesses and lives, we have conducted a review of our operations and have undertaken a variety of precautionary measures to ensure we are able to maintain the same level of dedication, advocacy and effort on behalf of our clients that you have come to expect from us…
Read more