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Late in the day on April 2, 2020, the Department of Treasury published the Interim Final Rule for the Paycheck Protection Program on its website as well as an updated application. The Department of Treasury has previously stated that covered loan applications under the Paycheck Protection Program would begin to be processed by participating lenders as early as today, Friday, April 3, 2020. Many lenders have expressed concern over potential liability exposure for lenders participating in the Paycheck Protection Program as well as with the lack of specificity and guidance included in the text of either the CARES Act or […]

Written by Todd A. Leeson and Kelsey M. Martin, Gentry Locke Attorneys March 27, 2020 Last night, the Department of Labor Wage and Hour Division (WHD) released its second round of FAQs [#15–37] addressing the Families First Coronavirus Response Act. The FAQs can be found here. A few important takeaways: Employers are advised to require employees to submit documentation to verify their need for emergency paid sick leave or extended FMLA leave [FAQ #16]. Leave can only be used intermittently for child care reasons and when the employer consents to such intermittent leave [FAQs #20–22]. Employees who are furloughed or […]

Written by Todd A. Leeson and Kelsey Martin, Gentry Locke Attorneys March 25, 2020 On March 24, 2020, the U.S. Department of Labor Wage-Hour Division (WHD) published its “first round” of guidance regarding the new Families First Coronavirus Response Act (“FFCRA” or the “Act”). The Act was signed into law on March 18, 2020. As you likely know by now, the Act basically provides that private sector employers with 499 or fewer employees must give eligible employees up to 80 hours of emergency paid sick leave (EPSL), and up to 12 weeks of emergency paid FMLA leave (EFLMA) for defined […]

With multiple states adopting lockdown orders to combat the COVID-19 pandemic, construction projects are being impacted. Although many states, including Virginia, have considered the construction industry, construction material suppliers/retailers to be essential businesses that are not affected by lockdown or shelter in place orders, construction projects are being impacted, and COVID-19 lockdown related delays are all but inevitable. Recent reports suggest that the supply chains for construction materials have been impacted by COVID-19 lockdowns in multiple countries. See: https://archpaper.com/2020/03/coronavirus-construction-supply-chain/. Corona virus related lockdowns are resulting in closed factories, shipping delays, and unavailability of workers in both the factory and in […]

We recently wrote about COVID-19 related delays, and providing notice of such delays, here. When reviewing the delay clauses in your contracts, you need to pay attention for the delaying events that are excusable, as well as those that are compensable. The Executive Director and Senior Counsel for ConsensusDocs (Brian Perlberg, Esq.) recently pointed out that Section 6.3.1(j) of the “ConsensusDocs 200 Owner/Constructor Agreement with General Conditions” specifically allows for delays that are “reasonably due to epidemics.” See: https://www.consensusdocs.org/consensusdocs-addresses-coronavirus-delay-risk-explicitly-other-standard-documents-do-not/?utm_source=informz&utm_medium=email&utm_campaign=informz_email&_zs=ICd0d1&_zl=n51d6 Mr. Perlberg also pointed out that although the AIA documents, and other standard construction contract forms, do not expressly mention epidemics […]

Written by Todd A. Leeson and Kelsey Martin, Gentry Locke Attorneys March 25, 2020   Today (March 25, 2020) the Department of Labor Wage and Hour Division (WHD) released the Notice outlining employee rights under the Families First Coronavirus Response Act that covered employers are required to post.  WHD also published a helpful “Frequently Asked Questions” (FAQ) document regarding the required posting.  The Notice and FAQ can be found here (scroll down to Posters section). https://www.dol.gov/agencies/whd/pandemic The Notice must be posted on or before April 1, 2020, in a conspicuous place on the employer’s premises.  With many employees teleworking during […]

The following summary of the Department of Treasury’s initial guidance related to the  Paycheck Protection Program should be read in connection with the following: 4/13/2020 Update: The Treasury Department Clarifies Confusion Concerning PPP Eligibility for Small Businesses 4/3/2020 Update: Interim Final Rule Paycheck Protection Program 4/1/2020 Update: Paycheck Protection Program Update 3/27/2020: Paycheck Protection Program   Initial Guidance and Form Application published by Department of Treasury and the Small Business Administration Late on Tuesday, March 31, 2020, the Department of Treasury and the Small Business Administration issued initial guidance related to the Paycheck Protection Program. Included in this guidance is […]

In the short time since the World Health Organization’s naming of the COVID-19 virus and its declaration of the spread of the virus as a pandemic, the social and economic systems that Americans have come to know have experienced seismic changes. For the foreseeable future, those swift changes are and will continue to affect how financial institutions and other business entities that extend credit to their customers conduct their business. It is important that those changes are met with equally swift recognition by each financial institution and business entity of how the changes are affecting their business and with the […]