On Friday, October 2, the U.S. Small Business Administration (SBA) issued guidance for lenders administering loans under the Paycheck Protection Program (PPP) regarding what involvement by the SBA (if any) is required when a PPP borrower undergoes a transaction resulting in a change in ownership. This guidance addresses several questions with which PPP borrowers and lenders have been struggling over the past several weeks and provides clarity around what the expectations are for when SBA consent is required and what . . . Read More
Millions of small businesses applied for and received loans under the Paycheck Protection Program (PPP), which was a temporary program established under the CARES Act enacted by Congress to provide relief to America’s small businesses due to the devastating effects of COVID-19. But some businesses were denied loans and others are seeking forgiveness, only to find that they were deemed ineligible for full or partial forgiveness. A new rule may provide small businesses with options to appeal these decisions. An . . . Read More
The coronavirus pandemic forced many companies to transition to remote work environments with little, if any, notice. In the face of ongoing remote work, you should provide employees with clear guidance on expectations and obligations. For this reason, it is advisable to revisit your remote employment policies and agreements. The following is a list of best practices for employers managing a remote workforce. Define the Employment Relationship Defining the terms of an employment relationship is necessary to protect employees, assure . . . Read More
On August 12, 2020, Director of National Intelligence John Ratcliffe issued a memorandum to the Department of Defense (DOD) that waives DOD’s requirements under Section 889 of the National Defense Authorization Act for Fiscal Year 2019. The Federal Register published an interim rule on July 14, 2020, that implemented Section 889, which prohibits agencies from procuring telecommunications equipment and services from Huawei Technologies Company, Hangzhou Hikvision Digital Technology Company, Hytera Communications Company, Dahua Technology Company, and ZTE Corporation. The DOD originally released a . . . Read More
On July 16, 2020, Governor John Carney of Delaware signed into law House Bill 341 to amend Title 8 of the Delaware General Corporation Law (DGCL) which, among other things, (1) solidifies a pandemic as an emergency situation, (2) expands the special powers of stockholders and directors during such emergency conditions, and (3) allows for the option to use electronic transmission documentation and electronic signatures for the execution of documents (previously limited to hardcopy and manual execution only). While DGCL § 110(a) already . . . Read More
In a new FAQ published on August 4, 2020, SBA clarified some additional points from the use of scanned documents to support the application to the forgiveness eligibility of costs incurred or paid during the chosen covered period. As always, PilieroMazza wants to bring this to the attention of all of our clients as we know many firms are currently preparing their forgiveness applications and these may be critical updates. General Loan Forgiveness If you are a sole proprietor/1099 or . . . Read More
Click here to view the recorded session. COVID-19 has exacerbated the issue of paid time off shortages in the workplace and created new questions about legal liability stemming from mandatory worksite and school closures and cautious workforce protection measures such as failed health screenings. Many employees will face shortfalls in employer-provided paid time off and any federal or state required sick leave protection. During this webinar, we will discuss strategies for managing employee leave in each of these situations. We will . . . Read More
