Business owners who found themselves the recipient of the PPP loan funds, but with their businesses still mandated closed, can breathe a bit of a sigh of relief as the PPP program was amended and borrowers now have 24 weeks, not 8, to use the funds and seek forgiveness. The Paycheck Protection Program Flexibility Act of 2020, which was just signed into law by President…
As we get closer to reopening the economy on Long Island and in NYC, the New York State Department of Health (“NYSDOH”) published industry specific detailed guidance setting forth the minimum requirements for businesses reopening in Phase 2. The NYSDOH’s guidance is broken down into the following categories: (1) Offices; (2) Real Estate; (3) Essential and Phase 2 In-store Retail; (4) Vehicle sales, leases, and…
Look to any contract for sale of a commercial property and you will find a “due diligence” provision. During this period, it is incumbent upon the prospective purchaser to investigate whether the property and its current or proposed use complies with the existing land use and zoning regulations. If the investigation reveals that the property is not in compliance with the intended use, the purchaser…
Standard provisions in a contract to purchase and sell real property in New York state, whether commercial or residential, usually do not subject the parties to “time being of the essence”. Instead, in order to require the parties’ performance of an obligation under a real estate contract in New York to be of the essence, the parties must either add specific language to such contract…
The novel coronavirus has completely upended the way of life for New Yorkers – including the way we work, feed our families and interact with people in our own communities. Every industry, including construction, has been impacted by the pandemic. Pursuant to a series of Executive Orders issued by Governor Cuomo, all non-essential businesses have been shut down in New York. “Essential” construction has been…
I. Long Island Begins Reopening During his daily press conference on May 26, 2020, Governor Cuomo had some much welcome news; Today, Wednesday, May 27, 2020, the Long Island Region is permitted to start Phase I of its reopening. (New York City is not there yet.). In Phase 1, the following businesses may resume operations: (a) Construction; (b) Agriculture, Forestry, Fishing, Hunting; (c) Retail,…
The economic fallout from the COVID-19 Pandemic presents considerable issues for commercial landlords and tenants. Due to state mandated closures, many tenants cannot generate sales and, as a result, are unable to meet their ongoing rental obligations. The inability of these tenants to pay their rent raises the question: what legal rights do commercial landlords have to collect the outstanding arrears? The answer to this…
There is NOTHING good about COVID-19. Who could argue with that statement? Yet, there have been some environmental benefits resulting from the “pause” of modern life, in particular, cleaner air in some of the world’s most densely populated regions and cities. While the infection and sadly death rates soared over the past 2-plus months, the world has witnessed and enjoyed an unprecedented reduction in greenhouse…
On Friday, May 15, 2020, the SBA issued the much-anticipated PPP loan forgiveness application. A copy of the application is available here. If you need any assistance, please do not hesitate to contact us. 1. Qualifying Utilities This application provides new guidance regarding how the PPP loan funds may be used. Notably, many questions have arisen as to which expenses qualify as “utilities.” The forgiveness…
Numerous companies and individuals will be (or already are) negatively impacted by the COVID-19 pandemic in some way. As a result, many will be looking to the terms of their commercial contracts to determine if there is a way to minimize their own financial losses and exposures in the face of forced closures, cancellations, and general business interruption. However, not all clauses are created equal…