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Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information for our clients and friends. Santa Monica Woman Pleads Guilty Under the Defense Production Act to Hoarding and Price Gouging A Santa Monica woman recently pled guilty to hoarding and price gouging face masks in violation of the Defense Production Act of 1950 (“DPA”).  The DPA prohibits the accumulation of materials “in excess of the reasonable demands of business, personal, or home consumption,” as well as the accumulation of materials for…
Originally published on April 14, 2020. Last updated as of January 10, 2021. This client alert has been updated to reflect the recent changes and updates to the Paycheck Protection Program (the “PPP”), scheduled to re-open on January 11, 2021. On December 27, 2020, the Consolidated Appropriations Act, 2021 (the “CAA”), which provides $900 billion in new COVID-19 relief funding, was signed into law. Title III of the CAA, the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act, renews and extends the PPP until March 31, 2021, providing up to $284.45 billion of emergency lending for eligible small…
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Summary of Key Changes and Expansion of the Paycheck Protection Program under the Consolidated Appropriations Act, 2021 On December 27, 2020 the Consolidated Appropriations Act, 2021 – containing a new $900 billion COVID-19 relief stimulus package – was signed into law.  The Act includes significant modifications and extensions of the Paycheck Protection Program (“PPP”) including: (i) extending the original program until March 31, 2021; (ii) increasing the list of eligible borrowers and the permitted uses of PPP loans; (iii) creating a new “second draw” loan program aimed at providing additional assistance of up to $2 million to PPP borrowers that…
The Consolidated Appropriations Act, 2021 (the “CAA”), which provides $900 billion in new COVID-19 relief funding, was signed into law on December 27, 2020.  Section 324 of Title III of the CAA, the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act (the “Hard Hit Act”), introduces a new $15 billion grant program through which the U.S. Small Business Administration (the “SBA”) will provide aid to struggling live venue operators and related businesses.  This program offers a critical lifeline from the Federal government for the nation’s performing arts venues, movie theatres and museums.  Grants made under such program are…
Services Practices Industries Market Solutions Corporate/Transactional Discover Corporate/Transactional Broker-Dealer Business Solutions, Governance, Restructuring & Bankruptcy Capital Markets Environmental Finance Health Care Regulatory Compliance Investment Management Latin America Mergers & Acquisitions Privacy & Cybersecurity Private Credit Private Equity Transactions Real Estate Labor & Employment Class Actions Employee Benefits & Executive Compensation Employment Counseling & Training Employment Litigation & Arbitration Global Employment & Immigration Discover Labor & Employment Labor-Management Relations Non-Compete & Trade Secrets Strategic Corporate Planning Whistleblowing & Retaliation Litigation Discover Litigation Antitrust Asset Management Litigation Insurance Recovery & Counseling Intellectual Property International Arbitration Product Liability & Consumer Litigation Securities Litigation
Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information for our clients and friends. Lawsuit Seeks Documents Showing Price VA Paid for PPE On November 26, 2020, a FOIA complaint was brought against the U.S. Department of Veterans Affairs seeking to discover documents showing the price the VA paid for PPE in the spring. According to the complaint, the VA has ignored requests regarding the prices it paid for PPE in Massachusetts, Texas, Georgia, Iowa, Illinois, and Maine. The complaint…
Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information to our clients and friends. Chicago Passes Ordinance Capping Third-Party Delivery Service Fees On November 23, 2020, the Chicago City Council unanimously approved an ordinance capping service fees that third-party delivery companies may charge to Chicago restaurants. The restriction prohibits third-party food delivery companies from charging more than a 10% delivery fee on online restaurant purchase orders. Violators may face fines ranging from $1,000 to $2,000 per offense. According to Ald.…
Originally published on May 4, 2020. Last updated as of November 23, 2020. The Federal Reserve Bank of Boston recently published updated Frequently Asked Questions for the Main Street Lending Program’s Business and Nonprofit Facilities to (1) provide guidance on the process for requesting certain modifications to loans made under the Business and Nonprofit Facilities, (2) clarify limits on restructuring underlying loan facilities before utilizing the Business and Nonprofit Facilities and (3) clarify the circumstances under which an underlying credit facility can be upsized and expanded to multiple co-borrowers under the Business and Nonprofit Facilities. This client alert describes the…
Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information for our clients and friends. D.C. Attorney General Files Lawsuit against Gasoline Retailer for Alleged Price Gouging On November 12, 2020, D.C. Attorney General Karl Racine filed a lawsuit against a D.C. gas retailer and distributor for allegations of price gouging. According to Attorney General Racine, the company doubled its profits on every gallon of gasoline sold at its 54 gas stations across the D.C. area, despite the prices of wholesale…
Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information to our clients and friends. Amazon Continues to Combat Online Price Gouging As a second wave of potential panic buying approaches, FOX Business has reported that Amazon is continuing to combat price gouging by third-party sellers. Since the pandemic began, Amazon has removed more than one million products from its platform. With winter approaching, a new category of cold-weather products, including fire pits and propane heaters, may be subject to state…
Originally published June 10, 2020.  Last updated on November 3, 2020. On October 22, 2020, the Federal Reserve Bank of New York (“New York Fed”) released an amended form of Master Loan and Security Agreement (the “MLSA”), which governs loans issued under its Term Asset-Backed Loan Facility (“TALF”).  The amendments will be effective as of November 5, 2020.  The New York Fed also updated its Frequently Asked Questions (“FAQs”) on October 22, 2020 to reflect the changes made to the MLSA, and further updated the FAQs on November 2, 2020.  These amendments include, among other things, a provision creating certain…
Price gouging enforcement and litigation is front and center for company counsel and business managers nationwide. Our weekly round up highlights some of the most relevant news and information to our clients and friends. Minnesota Attorney General Talks Price Gouging – Pushes for New Legislation In a recent Law360 article, Minnesota Attorney General Keith Ellison discussed Minnesota’s fight against pandemic profiteering. To date, Minnesota has received more than 2,200 complaints related to price gouging since the start of the pandemic. Attorney General Ellison stated that a “dedicated team of attorneys and investigators have made countless calls to businesses and consumers,…
In response to the COVID-19 epidemic, the U.S. government has provided relief to companies through various grant programs.  The receipt of these grant proceeds represents a meaningful lifeline to many companies and the revenue provided by these grants can have a significant impact on their accounting statements (including GAAP and non-GAAP financial calculations).  Similarly, such financial determinations may also impact various provisions of these companies’ credit facilities, particularly in the private credit space.  Revenue calculations are key to determining a company’s consolidated net income and EBITDA, which are then used to determine such company’s financial covenant compliance and incurrence capacity…
Beyond its devastating human toll, the COVID-19 pandemic has had a historic impact on the U.S. economy, causing tens of millions of Americans to lose employment and numerous businesses to temporarily or permanently shutter. This presents an environment ripe for distressed M&A activity. Will U.S. antitrust law stand in the way of the economic forces spurring such consolidation? U.S. antitrust enforcers have historically viewed industry consolidation suspiciously, considering it better to let troubled businesses naturally run their course. But does that view apply in the context of a rapid economic downturn, particularly where the underlying cause is an environmental health…
As some companies experience financial hardship as a consequence of the Covid-19 pandemic, bankruptcy filings under Chapter 11 of the U.S. Bankruptcy Code are on the rise. Companies looking to restructure and streamline costs in the bankruptcy process often look to employee benefit plans as one area for change. This article broadly addresses the impact of a Chapter 11 bankruptcy on employee benefit plans and some of the significant employee benefits issues that debtors face in a Chapter 11 restructuring, including potential sale of the debtor’s assets under 11 U.S.C. §363 of the Bankruptcy Code. Companies with significant benefits liabilities…