Business Law Update: PA Stay At Home Order Expanded & CARES Act Update
What a day! There has been lots of information flying around. The CARES Act was just passed and signed into law this afternoon. The Governor of PA expanded the Stay at Home order…and someone just reminded me it is Friday. It certainly does not feel like the end of the week.
CARES Act Update
What was a busy day with the anticipated enactment of the CARES Act (the 3rd phase of the federal stimulus package) became busier with Governor Wolf’s amended stay at home order. As promised, linked is a summary of the CARES Act which we anticipate the president to sign this afternoon/evening (unless he signed while I was composing this email). It has already been passed by the House and Senate. This is a limited summary to provisions we feel our clients are most affected by, which include small business relief and individual relief (such as direct payments, unemployment, retirement account changes, and debt relief).
Key Financial Leaders Are Predicting A Fairly Quick Rebound
In the linked commentary received from Robert Teeter at the Silvercrest Group, they highlight comments from former Fed Chair Ben Bernanke related to the economic recovery once we get past the COVID-19 crisis. I will also highlight that famed Wharton Professor Jeremy Siegel has made similar comments as well. https://www.cnbc.com/2020/03/02/jeremy-siegel-sees-a-short-quick-recession-due-to-the-coronavirus.html
PA Stay At Home Order Expanded
Earlier this afternoon, Governor Wolf extended the stay at home order, which currently only applied to a handful of counties, to additional counties including York & Lancaster. Linked please find a memo regarding what we anticipate to be implications of the order. Please note, the linked document is based on requirements for the current counties under the stay at home order. To the extent the current order changes those requirements, we will be sure to update.
- Order Amending the Order of the Secretary of the Pennsylvania Department of Health Directing Individuals to Stay at Home (PDF)
- Amendment to The Order of The Governor of The Commonwealth of Pennsylvania for Individuals to Stay at Home (PDF)
- Stay at Home Order Guidance (PDF)
Updated Guidance from the Department of Labor for the Families First Coronavirus Response Act
Yesterday, the U.S. Department of Labor clarified that it will not enforce the Families First Coronavirus Response Act until April 17, 2020, provided that employers are making a good-faith effort to comply. As noted yesterday, the act now takes effect on April 1, 2020. Visit this link for more information on the FFCRA.
Please see the linked commentary (1) (2) from a legal colleague, Robert Bovarnick, Esquire, who is very knowledgeable about the business bankruptcy space. He has included information for both the debtor and the creditor.
Eisenhart & Company COVID-19 Resource Center
Another COVID-19 resource for you to use would be Eisenhart & Company. The following link has some helpful information: https://eisenhartcpa.com/covid19-tax-resource-center
Please see all of our updates at the following link: https://mpl-law.com/resource-center/
As always, please don’t hesitate to email myself or anyone in our office with any questions or comments. Also, please feel free to forward our updates to others.
Keep moving forward! We will get back to normal.