Paycheck Protection Program Extension

PPP Loan Applicants: The New Deadline for Loan Applications is August 8th

Posted by Sam O on

The popular Paycheck Protection Program (the “PPP”) administered by the Small Business Administration has been extended for another five weeks, postponing the June 30th deadline for PPP loan applications until August 8th. Since the PPP began, more than 4.8 million small businesses received over $500 billion in potentially forgivable loans through the PPP and reports indicate that approximately $130 billion in PPP funds remain available to eligible small businesses. The remaining funds are available on a first-come, first-served basis, so businesses interested in applying for PPP funding should proceed with urgency.

If your business has yet to obtain funding through a PPP loan, the Business & Finance Department at Rosenn Jenkins & Greenwald LLP is ready to assist you in determining your eligibility for PPP funding and the amount your business is eligible to borrow. Please contact Department Chair Paul T. Rushton (prushton@rjglaw.com), Christyan A. Telech (ctelech@rjglaw.com), or one of the other attorneys in our Business & Finance Department to learn more about the PPP and the assistance we can provide with PPP loans and forgiveness applications.

RJG Blog - COVID Green Phase

Moving to the Green Phase: Learn about the Restrictions that Remain in Place

Posted by Sam O on

On June 12th, Governor Tom Wolf announced that eight more counties, including Luzerne County, will move to the green phase of reopening under the Governor’s Process to Reopen Pennsylvania on June 19th. Although certain restrictions aimed at combating COVID-19 are eased for a county that enters the green phase, there are still a number of restrictions that must still be adhered to by businesses and/or citizens in the county during the green phase, including certain work setting restrictions and social restrictions. Accordingly, as businesses in Luzerne County plan for the green phase, they must closely review the applicable restrictions under the Governor’s Process to Reopen Pennsylvania and tailor their practices to comply with those requirements.

Rosenn, Jenkins & Greenwald is prepared to assist businesses as they address these novel and important issues. If you are interested in learning more about these services, please contact Paul Rushton, the Chair of RJG’s Business & Finance Department (prushton@rjglaw.com), or Christyan Telech (ctelech@rjglaw.com) of our Business & Finance Department.

When Preparing PPP Loan Forgiveness Applications, Follow Available Guidance from the SBA

Posted by Sam O on

As recipients of Paycheck Protection Program loans (“PPP Loans”) proceed to prepare their PPP Loan Forgiveness Applications, close attention should be paid to the instructions for the Application that were recently published by the Small Business Administration (“SBA”) and the other available guidance from the SBA. In order to maximize the portion of the PPP Loans that may be forgiven, a PPP Loan recipient should carefully analyze such instructions/guidance and prepare their PPP Loan Forgiveness Application in strict accordance therewith.

The attorneys at Rosenn Jenkins & Greenwald are regularly monitoring the PPP Loan guidance and regulations issued by the SBA and the U.S. Department of Treasury in order to assist clients in administering their PPP Loans and obtaining available loan forgiveness. Please contact Jim Valentine (jvalentine@rjglaw.com) or Kieran Casey (kcasey@rjglaw.com) if you have questions or require any assistance in preparing a PPP Loan Forgiveness Application or otherwise administering a PPP Loan.

Restaurants and Bars in Yellow Phase Counties can Open Outdoor Seating Beginning on June 5th

Posted by Sam O on

Restaurant and Bar Owners: Governor Wolf has announced that, beginning on June 5th, restaurants and retail food service businesses located in counties in the “yellow phase” of the Process to Reopen Pennsylvania are permitted to add dine-in service in outdoor seating areas, provided that the restaurant complies with Commonwealth guidance for the restaurant industry. Further, retail food service businesses, including restaurants and bars, located in counties in the “green phase” are now permitted to provide dine-in service in both indoor and outdoor seating areas, so long as they strictly adhere to the requirements of the Commonwealth guidance. To read more about Governor Wolf’s announcement, click here: https://www.governor.pa.gov/newsroom/gov-wolf-issues-updated-green-phase-order-guidance-on-dining-and-professional-sports/.

If you operate a restaurant or bar and would like to learn more about the steps that must be taken to comply with the Commonwealth’s guidance for the restaurant industry, please contact Paul Rushton (prushton@rjglaw.com) or Christyan Telech (ctelech@rjglaw.com) of our Business & Finance Department. We can help!

Businesses in Financial Hardship Should Consider Whether or Not to File for Bankruptcy

Posted by Sam O on

The economic crisis resulting from the COVID-19 pandemic has dramatically impacted the financial well-being of many businesses. Although federal and state programs and loans offer some relief, many businesses are finding themselves stretched to their financial breaking point due to government ordered closures and other adverse consequences. As a last resort, an increasing number of companies are considering whether filing for bankruptcy may be a solution to their financial problems.

We here at Rosenn, Jenkins & Greenwald, L.L.P. have considerable experience in representing businesses confronting economic hardship and considering whether to file for bankruptcy. If you own or operate a company currently in financial hardship, feel free to contact Thomas J. MacNeely, Esquire (tmacneely@rjglaw.com) to discuss your options and whether a bankruptcy filing is right for your company.

Application and Instructions for PPP Loan Forgiveness Published by SBA

Posted by Sam O on

The Small Business Administration (the “SBA”) recently published the “Paycheck Protection Program Loan Forgiveness Application” (the “Application”), as well as instructions associated with the Application (the “Instructions”). Taken together, the Application and the Instructions provide important guidance which borrowers who have received a PPP Loan should be aware of in order to obtain the loan forgiveness provided by the Paycheck Protection Program.

The attorneys at Rosenn Jenkins & Greenwald are regularly monitoring the PPP Loan guidance and regulations issued by the SBA and the U.S. Department of Treasury in order to assist clients in administering their PPP Loans and obtaining available loan forgiveness. Please contact Jim Valentine (jvalentine@rjglaw.com) or Kieran Casey (kcasey@rjglaw.com) if you have questions or require any assistance related to a PPP Loan.

Adopt a Formal COVID-19 Response Plan to Ensure Your Business is Prepared to Resume In-Person Operations During the “Yellow” Phase

Posted by Sam O on

As businesses prepare for their respective counties to reopen in accordance with Governor Wolf’s Process to Reopen Pennsylvania, owners should closely review the guidance issued by the Commonwealth concerning the requirements that must be addressed as businesses resume in-person operations during the “Yellow” phase. To effectively comply with such requirements, businesses should adopt a formal COVID-19 Response Plan that outlines how the business will address those requirements, including the designation of a “Pandemic Safety Officer” for the business and the posting of required notices at the place of business.

Rosenn, Jenkins & Greenwald, LLP is prepared to assist businesses in adopting a Response Plan in preparation for resuming in-person operations in the “Yellow” phase. Please contact Paul T. Rushton, Esquire (prushton@rjglaw.com) or Christyan A. Telech, Esquire (ctelech@rjglaw.com) if you are interested in learning more about these services.

New Guidance Issued about “Good Faith” Certification Requirement for PPP Loans

Posted by Sam O on

In submitting an application for a Paycheck Protection Program (a “PPP Loan”), applicants were required to certify in good-faith that receipt of the PPP Loan was “necessary to support” their “ongoing operations.” The manner in which the Small Business Administration (the “SBA”) will review whether or not such certifications were made in good faith is a topic of ongoing concern among PPP Loan recipients. Yesterday, May 13th, the SBA, in consultation with the U.S. Department of Treasury (“DOT”), indicated that “any borrower that, together with its affiliates, received PPP loans with an original principal amount of less than $2 million will be deemed to have made the required certification” … “in good faith.” The SBA also indicated that, in the event it determines a borrower which received PPP Loans in an amount greater than $2 million did not make the required certification in good faith, it will provide such borrower the opportunity to repay the PPP loan and “will not pursue administrative enforcement or referrals to other agencies based on” such determination if the borrower does repay the PPP Loan.

The attorneys at RJG are regularly monitoring the PPP Loan guidance issued by the SBA and the DOT in order to assist clients in administering their PPP Loans and obtaining available loan forgiveness. Please contact Jim Valentine (jvalentine@rjglaw.com) or Kieran Casey (kcasey@rjglaw.com) if you have questions or require any assistance related to PPP Loan related issues.

Business Interruption Insurance – Does your Policy Contain a Virus and Bacteria Exclusion?

Posted by Sam O on

Many businesses carry what is known as business interruption insurance as part of their insurance coverages. A number of these policies contain an exclusion for loss caused by a virus or bacteria, and insurance companies are relying on this exclusion to deny coverage for financial losses caused by the need to shut down a business during the pandemic and the resulting governmental orders. Some insureds are challenging the virus exclusion, and there are some legislative efforts underway to require insurers to provide coverage for business interruption, even if the applicable policy contains the exclusion. However, it is important to know that some business interruption insurance policies do not contain this exclusion, and yet some insurance companies are denying coverage.

If your company has suffered a business interruption loss due to the current shut down orders, it is critically important that you review your business interruption insurance policy to determine whether or not it contains the virus and bacteria exclusion. If your policy does not contain such an exclusion, contact Attorney Rick Russo (rrusso@rjglaw.com) or one of the other insurance bad faith attorneys at Rosenn Jenkins & Greenwald.

“Remote Online Notarization” Authorization is Now Temporarily in Effect

Posted by Sam O on

The Pennsylvania Legislature recently passed, and Governor Wolf signed, a temporary law allowing for Pennsylvania notaries to notarize documents without the signer being in the physical presence of the notary (as is normally required). This temporary “Remote Online Notarization” authorization will expire sixty (60) days after the termination of Governor Wolf’s COVID-19 disaster emergency. The Remote Online Notarization occurs through the use of audio/video technology using a computer or tablet with a microphone and camera. RJG paralegals have applied for, and are now able to, remotely notarize documents pursuant to this temporary law. Therefore, if you need to have a document notarized in this difficult time, please contact Tom MacNeely, the Chair of our Real Estate Practice Group (tmacneely@rjglaw.com), to make the necessary arrangements to have those documents notarized via Remote Online Notarization.