Loans for Businesses Not Otherwise Receiving Relief Under the CARES Act

Businesses have principally focused on relief available under the Paycheck Protection Program and Economic Injury Disaster Loan provisions of the CARES Act. To the extent businesses qualify, these programs provide the most immediate and beneficial relief available under the Act. Further, the federal government has initially paid the most attention to these programs and how to bring them quickly online. For businesses that do not qualify for these programs, alternative relief may be available under other provisions of the Act.

To read the full text of this Duane Morris Alert, please visit the firm website.

Fair Credit Reporting Act Amended by CARES Act for Accommodations Extended to Consumers During COVID-19

Right now, many creditors may be considering making accommodations to consumers affected by COVID-19 by offering different ways to help ease the burden of existing debt obligations. In doing so, creditors should take care to follow the special credit reporting rules for such accommodations set forth in the recently passed Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”).

To read the full text of this post by Duane Morris attorney Lynne Evans, please visit the Duane Morris Banking and Finance Law Blog.

New COVID-19 UK Government Financing Options Available

The UK government recently announced a package of measures to provide liquidity to UK businesses during the COVID-19 pandemic. Two schemes are particularly useful for financing needs: the HM Treasury and the Bank of England COVID-19 Corporate Financing Facility and the British Business Bank Coronavirus Business Interruption Loan Scheme.

To read the full text of this Duane Morris Alert, which  provides summaries of the financing schemes, eligibility requirements and the application process, please visit the firm website.

Annual Meetings When Your Stockholders Cannot Actually Meet

Millions of stockholders of Delaware corporations are currently under some form of “stay-at-home” restrictions, and applicable guidelines from health officials limit gatherings to no more than 5-10 people, each of which have to be at least 6 feet away from one another.  These safety protocols, while necessary, make it essentially impossible to convene annual stockholders’ meetings as has been traditional–in person.

To read the full text of this post by Duane Morris partner Richard Renck, please visit the Duane Morris Delaware Business Law Blog.

CARES Act Impacts Banking and Finance Industry

The Coronavirus Aid, Relief and Economic Security (CARES) Act includes wide-ranging provisions that will have direct and indirect impacts on the banking and finance industry.

The unprecedented $2 trillion stimulus package includes, among other things, provisions for the removal of the cap on the FDIC’s guarantee of insured deposits; waiver by the OCC of single-borrower lending limits for national banks; reduction of the minimum leverage ratio for community banks; favorable accounting treatment for loan modifications; and authority for a guarantee program for the U.S. money market mutual fund industry.

To read the full text of this Duane Morris Alert, please visit the firm website.

Considerations for Small and Mid-Sized Businesses in Responding to COVID-19 Pandemic

Many small and mid-sized businesses are facing unprecedented challenges in dealing the COVID-19 pandemic.  In many states, “non-essential” businesses have faced complete shutdowns.  In the face of COVID-19, small and mid-sized businesses face myriad challenges and it can be overwhelming to try to tackle them with limited human and capital resources.  The below is a list of key risk-mitigation items that should be priorities for small and mid-sized businesses as they face remote working challenges and capital crunches. Continue reading “Considerations for Small and Mid-Sized Businesses in Responding to COVID-19 Pandemic”

Due to COVID-19 Threats, Financial Regulators Require Pandemic Policies

Federal and state financial regulatory agencies are requiring banks and other financial institutions to have policies in place in response to the current COVID-19 pandemic.

On March 6, 2020, the federal bank regulatory agencies―including the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), the Consumer Financial Protection Bureau (CFPB) and the Office of the Comptroller of the Currency (OCC)―issued an Interagency Statement on Pandemic Planning, which requires financial institutions to have an adequate business continuity plan (BCP) to address the potential adverse effects of COVID-19 and other pandemics.

To read the full text of this Duane Morris Alert, please visit the firm website.