COVID-19’s Impact on Contractual Relationships and Obligations
In follow up to a previous discussion on force majeure provisions, we reviewed how Coronavirus will affect contractual relationships and obligations. The unique nature of the COVID-19 pandemic has thrust all of America into uncertainty. Relying on Act of God language to exempt you from your legal responsibilities might not be a sure bet, even if you believe you have a convincing case. Taking steps to connect with contract partners might be a better way to reach a resolution that recognizes the harm that was done and modifies certain rights and obligations. By working with a skilled business lawyer, you might be able to avoid a significant conflict over how force majeure is defined in your situation. If a compromise cannot be reached, your attorney can assist you in ascertaining whether you might succeed in a legal action.
On October 8, 2020, the Small Business Association (“SBA”) and United States Treasury Department took a smaller step toward simplification of the application process for Paycheck Protection Program (“PPP”) borrowers, and their lenders, on loans of $50,000 or less.
Have you considered starting a business during the Coronavirus Pandemic?
The Empire State Development Corporation (the "ESDC") issued further guidance to inform businesses in New York State whether they are an “essential business” or if they are subject to the current workforce reduction mandate issued by Governor Cuomo.
By the ‘New York State on PAUSE’ Executive Order, Governor Cuomo directed that by Sunday, March 22, 2020, at 8:00 p.m., all businesses and not-for-profit entities in New York State shall reduce their in-person workforce at each individual business/work location within the state by 100%. For the purpose of this Executive Order, the ESDC provided the following additional guidance on what "Essential Business" means:
On June 14, 2019, Governor Andrew Cuomo signed the Housing Stability and Protection Act of 2019 effectively codifying a new era in the State’s landlord-tenant regime. As the name suggests, the law puts into effect widespread regulation aimed at protecting and promoting tenants’ rights. If you are a landlord, this Act may have you wondering how these changes may affect your business dealings going forward. In short, many aspects of prior leases may need to be revisited, revised or scrapped altogether to ensure full compliance with the new regulatory landscape.
The Internet has transformed the national economy in recent years as America has gradually become a nation of online shoppers. E-commerce offers a number of appealing perks: low prices, stay-at-home convenience, a myriad of choices, and—until now—sales tax-free purchasing.
Considerations Regarding Tax Burden Allocations Among Members & Owners
In forming your business, considerations regarding control or transferability of interest and the like may be at the forefront of your mind, and tax considerations may be relegated to the backseat. However, choosing between different non-tax options can result in different tax outcomes for your business. You can meet your non-tax options and goals with creative solutions, while at the same time being cognizant of the tax implications of those choices so as to keep the tax burden as low as possible.
Thomas Hughes, Associate Attorney, and Scott Mecham, Director of Business Operations, sit down to discuss HoganWillig's efforts to help struggling businesses get back on track.
Keep reading to learn more about non-compete agreements in the workplace.