In this two-part series, we are discussing some of the key legal considerations for Florida businesses operating during the COVID-19 pandemic. In Part 1, we covered issues related to potential COVID-19 exposure in the workplace and what companies can (and should) be doing to protect their employees, their customers, their data and themselves. In Part 2, our Fort Lauderdale corporate lawyers are discussing statutory and contractual compliance issues related to the virus:
6. Paycheck Protection Program (PPP) Compliance
If your company received a loan under the federal Paycheck Protection Program (PPP), you will need to ensure that your company meets all of the requirements for loan forgiveness. Additionally, the U.S. Treasury Department has announced that it will be auditing many PPP loan recipients, and companies that may have violated the terms of the program in their loan applications will need to be careful to avoid steep penalties.
7. FMLA and FFCRA Compliance
The Families First Coronavirus Response Act (FFCRA) temporarily extended the protections of the Family and Medical Leave Act (FMLA) and afforded paid job-protected leave to employees who have been diagnosed with COVID-19, who have family members who have been diagnosed with COVID-19 and who have concerns about COVID-19 exposure in certain circumstances. Employers in Florida must be careful to ensure that they adhere to the FFRCA’s requirements.
8. Contract Breaches and Enforcement
For many companies, the COVID-19 pandemic has resulted in extreme financial strain and forced them breach the terms of their agreements with lenders, lessors, vendors, customers and other parties. If your company is in breach of an agreement, or if your company is dealing with a counterparty breach, you will need to make strategic decisions with your company’s long-term financial interests in mind.
9. Ongoing Legal and Contractual Compliance Considerations
The legal landscape surrounding the COVID-19 pandemic is still evolving, and many companies are still facing major struggles as a result of the economic crisis triggered by the virus. As a result, companies must continue to monitor for new legal developments, and they must continue to assess their contractual risks on an ongoing basis.
10. Filing a Business Interruption Insurance Claim
Finally, if your company has business interruption insurance, it may be prudent to assess whether you have grounds to file a claim. Some business interruption insurance policies cover pandemics and other similar types of events, while others do not. If your company can file an insurance claim, doing so could provide much-needed financial relief, and you will want to work with experienced legal counsel to ensure that your company’s insurer upholds the terms of its policy.
Schedule a Consultation with a Fort Lauderdale Corporate Lawyer Today
If you have questions or concerns about what your company should be doing during the COVID-19 pandemic, we encourage you to speak with a Fort Lauderdale corporate lawyer at Saavedra Goodwin. To schedule an appointment at your convenience, please call 954-767-6333 or tell us how we can help online today.