Latest News from COVID-19 Resource Center and More

Here is a roundup of the June news from the Odin, Feldman & Pittlemen, P.C. COVID-19 Resource Center and about new Virginia statutes.

New Paycheck Protection Program Flexibility Act

On June 3, 2020, the Paycheck Protection Program Flexibility Act of 2020 (PPP Flexibility Act) was unanimously approved by the Senate, after overwhelming approval by the House last week.  Under the PPP Flexibility Act, which is expected to be signed into law by the President, the CARES Act was amended to provide additional flexibility to borrowers.  The highest profile change is to the definition of “covered period,” which now shifts from eight weeks from loan origination to the earlier of 24 weeks or Dec. 31, 2020.

Learn more about the PPP Flexibility Act from Shareholder Michelle DiCintio by CLICKING HERE.

Four Things to Know About the CARES Act and the New Small Business Bankruptcy Reorganization Act

In an attempt to make chapter 11 more streamlined and less expensive for debtors, Congress amended the bankruptcy code to add a brand new reorganization chapter: Subchapter V. Subchapter V is available exclusively to small-business debtors and provides a new option that is intended to be quicker and cheaper; it also offers less oversight and fewer reporting requirements than a traditional chapter 11 case. Congress originally made the new Subchapter V option available to all businesses with $2.7 million or less in aggregate secured and unsecured non-contingent and liquidated debt. That amount was increased to $7.5 million for the rest of 2020 under the CARES Act.

Learn more from OFP Attorney Brad Jones: CLICK HERE.

SBA, Treasury Streamline Loan Forgiveness Application and Update Guidance

Earlier this month the Small Business Administration (SBA) and Department of Treasury streamlined the path to applying for loan forgiveness under the Paycheck Protection Program (PPP), the lifeline extended to small businesses suffering financial pressures resulting from the COVID-19 pandemic. A revised loan forgiveness application and a new EZ version of the form are designed to slash the layers of paperwork, documentation and calculations required to request loan forgiveness. New instructions for Borrowers were also issued for both the Revised Form and the EZ Form.

Learn more from OFP Shareholder Michelle DiCintio.

New Virginia Contractor Misclassification Law

Spring brought significant changes to Virginia’s employment law landscape.  Virginia Governor Ralph Northam recently signed a series of new employee-centric laws, including the ones intended to fight against worker misclassification. 

Learn more from OFP Shareholder Sara Sakagami: CLICK HERE.

OFP COVID-19 Resource Center Updates

Here are the latest legal articles relating to the impact of COVID-19 on individuals and businesses.

SBA and Treasury Release PPP Loan Forgiveness Application

As has been much discussed, loan forgiveness is a key feature of the CARES Act’s Paycheck Protection Program (PPP) administered by the Small Business Administration (SBA), but there has been little guidance regarding the process and criteria for seeking forgiveness. Late Friday, May 15, 2020, the SBA and Department of Treasury released the PPP loan forgiveness application and related instructions, providing some clarity. Additionally, the Treasury Department indicated in an associated press release that the SBA will issue regulations and guidance to further assist borrowers in the completion of their applications for forgiveness, and provide lenders with guidance on their responsibilities. Learn more from OFP Shareholder Michelle DiCintio.

SBA Again Updates Safe Harbor Guidance for PPP Loans

On May 13, 2020, the Small Business Administration (SBA) again updated its guidance regarding the safe harbor provision for loans disbursed under the Paycheck Protection Program (PPP), the lifeline extended to small businesses under the financial relief package known as the CARES Act. Learn more from OFP Shareholder Michelle DiCintio.

OFP’s COVID-19 Commercial Leasing Playbook

Although Northern Virginia, Maryland and DC are not fully ready to begin easing COVID-19 restrictions, business leaders are preparing now.  What can landlords and tenants do today to survive a challenging second quarter, prepare for reopening, and emerge strong for the rest of 2020?

Practical Advice for Landlords
In Part I of OFP’s COVID-19 Commercial Leasing Playbook, we focus on steps that landlords should be considering as they work together with all stakeholders to document a realistic short-term plan and remain flexible in the coming months.
Click here to learn more from OFP Shareholders Jennifer Banks and Leslye Fenton.

Practical Advice for Tenants
In Part II of OFP’s COVID-19 Commercial Leasing Playbook, we focus on steps that tenants should be considering as they work together with all stakeholders to document a realistic short-term plan and remain flexible in the coming months.
Click here to learn more from OFP Shareholders Jennifer Banks and Leslye Fenton.

Practical Advice for DC Retail Tenants
In Part III of OFP’s COVID-19 Commercial Leasing Playbook, we focus on steps that retails tenants in Washington, DC, should be considering as they work together with all stakeholders to document a realistic short-term plan and remain flexible in the coming months.
Click here to learn more from OFP Shareholders Jennifer Banks and Leslye Fenton.

Sweeping Changes to Virginia’s Employment Laws on the Horizon

On July 1, 2020, the Virginia Values Act (VVA) will become effective as law and introduce new legal protections designed to make the Commonwealth a more accepting workplace for all members of society.  In doing so, the VVA is expected to produce a sweeping overhaul of employment discrimination litigation in Virginia by prohibiting employment discrimination on the basis of sexual orientation, gender identity, and veteran status.  These changes, unprecedented thus far in southern states, will significantly impact employers while providing additional protections and remedies to employees.
Learn more from OFP Attorney Cameron Green.