What is the Paycheck Protection Program?

  • The Paycheck Protection Program authorizes up to $349 billion in forgivable loans for small businesses to pay their employees and meet certain covered expenses during the COVID-19 crisis.

Who can apply?

  • All businesses with 500 or fewer employees can apply, including sole proprietorships, self-employed individuals, and independent contractors. Hotel and food service businesses and certain franchises with more than 500 employees may still be eligible if they have no more than 500 employees per physical location. Businesses with more than 500 employees may also be eligible if they meet applicable SBA-employee-based size standards for their industry. More information on those standards can be found at https://www.sba.gov/document/support–table-size-standards.

Continue Reading Paycheck Protection Program FAQs for Small Businesses

On March 17, 2020, California Governor Gavin Newsom signed Executive Order N-31-20,  conditionally suspending enforcement of certain—but not all—employer obligations under the state’s Worker Adjustment and Retraining Notification (Cal-WARN) Act “as a result of the threat of COVID-19.”

The Cal-WARN Act requires subject employers to provide employees and certain government agencies with 60-days’ prior notice before implementing a qualifying “mass layoff,” “relocation,” or “termination.” Cal-WARN applies to “covered establishments,” defined as “any industrial or commercial facility, or part thereof that employs, or has employed within the preceding 12 months, 75 or more persons,” including part-time employees.

Continue Reading California Governor Partially Suspends Cal-WARN’s 60-Day Notice Period for COVID-Related Closures

The practical applications for utility tariff bonds (UTBs) continues to expand.[1] One additional use for UTBs may well be the recovery of COVID-19 pandemic costs (COVID-19 Costs) incurred by utilities. UTBs are an efficient way to finance costs over which a utility has little practical control and where the recovery of such costs would likely otherwise cause rate “shock” for customers.

Continue Reading Recovery of COVID-19 Costs by Utility Tariff Bonds?

On March 27, 2020, President Trump signed the largest economic stimulus bill in US history: the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The CARES Act provides resources to support our health care system in the fight against the COVID-19 pandemic, cash and other forms of relief for individual citizen; loans and other assistance to small businesses; and assistance for certain hard-hit industries. Many of the changes affect or have implications for employee benefit programs and other aspects of employee compensation. In our blog entry from March 27, we provided a high level summary of the legislation as it affects executive compensation, retirement and health and welfare plans, and employment taxes. In the first of a series, we look at the provisions affecting health and welfare plans in more depth.

Continue Reading CARES ACT – Changes for Health and Welfare Plans

In the face of the COVID-19 pandemic, the US Federal government and a number of State and local governments have enacted moratoriums on foreclosures and evictions. The chart linked below describes the application of federal and selected state and local moratoriums with regard to commercial and residential borrowers and tenants, the duration of such actions, and requirements for such relief. Given the rapidly evolving nature of COVID-19, it’s possible that many of the dates noted within will be extended or modified, and that additional jurisdictions will impose similar restrictions.

Continue Reading Guide to US Federal, State and Local Foreclosure & Eviction Moratoriums

Like many states across the country, the DC, Maryland, and Virginia area, which is commonly called “the DMV,” is restricting movement of residents in an effort to slow the spread of the COVID-19 pandemic. On March 30, 2020, the mayor of the District of Columbia and the governors of Virginia and Maryland issued updated orders in response to the rising number of COVID-19 cases and deaths in the DMV area.  The orders mandate stay at home requirements and restrict activities of non-essential businesses in each location.  The Virginia order extends the duration of the restrictions until June 10, 2020, while the duration of the DC and Maryland orders remain unchanged. The Maryland order remains in effect for an indefinite duration or until it is rescinded or changed, or the jurisdiction suspends the state of emergency; while the DC order maintains the target end date of April 24, 2020, although it reserves the authority to rescind, suspend, or extend the order. Continue Reading DC, Maryland, and Virginia Issue Updated Orders Making Stay at Home the Norm in the DMV

The Nationwide Multistate Licensing System (NMLS) Policy Committee has amended its previously announced 60-day temporary deadline extension for certain types of reporting submitted in NMLS. According to the current posting on the NMLS website, it appears that because the Federal Financial Institutions Examination Council announced there would be a 30-day extension for certain reports, the NMLS Policy Committee reduced its extension for filing financial statements and certain other reports from 60 days to 30 days.

Continue reading on Mayer Brown’s CFS Review blog.

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If you wish to receive periodic updates on this or other topics related to the pandemic, you can be added to our COVID-19 “Special Interest” mailing list by subscribing here. For any other legal questions related to this pandemic, please contact the Firm’s COVID-19 Core Response Team at FW-SIG-COVID-19-Core-Response-Team@mayerbrown.com.

As part of the accelerated legislative process set up by the French Parliament, an emergency bill to combat the Covid-19 crisis (loi n°2020-290, the “Law”) was adopted on March 23rd, 2020. The Law notably provides that the French Government is allowed to take specific measures by ordinance to adapt certain aspects of the French legislative framework.

Among an impressive of eagerly-awaited ordinances adopted by the French Council of Ministers (“Conseil des Ministres“) on March 25, 2020, Ordinance n°2020-306 (“Ordonnance n° 2020-306 du 25 mars 2020“) relates to the extension of time limits and the adaptation of judicial and administrative procedures (the “Ordinance on Deadlines”).

Continue Reading French Ordinance n°2020-306 of March 25,2020 Adapts Administrative Proceeding During the State of Public Health Emergency

The Pensions Regulator (“tPR”) has released guidance on issues which occupational pension schemes may face as a result of disruption caused by COVID-19. To read the full update, please visit our website.

If you wish to receive periodic updates on this or other topics related to the pandemic, you can be added to our COVID-19 “Special Interest” mailing list by subscribing here. For any other legal questions related to this pandemic, please contact the Firm’s COVID-19 Core Response Team at FW-SIG-COVID-19-Core-Response-Team@mayerbrown.com.

The Korean government took rapid and intrusive measures against COVID-19 which were successful to flatten the curve of new infections without shutting down the country nor the city at the epicenter of the outbreak.

Still, in light of the continued emergence of outbreaks, the Korean government advised the public to comply with social distancing for 15 days from March 22 to April 5. The government urged the public to stay at home to the extent possible, unless necessary to purchase daily essentials, to visit medical facilities, or to commute. The government also advised companies to implement various methods of minimizing person-to-person contact for employers, such as work-from-home and flexible hour systems. Also, the government recommended those with fever or respiratory symptoms refrain completely from going to work or school and closely monitor their symptoms for the next 3-4 days.

Continue Reading South Korea’s Measures Against COVID-19