Although many aspects related to the coronavirus quarantine have been relaxed across New York State, the executive order mandating the use of face masks in public indoor locations remains in effect. While most people have complied with this requirement willingly, a handful of people have vocally objected, often taking out their frustration at the policy on the workers and businesses who are often tasked with enforcing it. How is a business supposed to handle people objecting to wearing a face mask without inviting legal trouble to their doorstep? Continue reading “The Difficulties with Enforcing Face Mask Policies in Commercial Settings”
Category: Business Law
Delaware Amends Corporation Law to Deal with COVID Complications
Delaware has recently amended its General Corporation Law to address concerns that have arisen due to the coronavirus crisis. These amendments, among other things, will make it easier for companies to respond to emergencies like the coronavirus outbreak, and make it easier to convene shareholder meetings or meetings of a board of directors when external circumstances make in-person meetings problematic. These changes are intended to address problems many companies, including many who operate in New York, have struggled to handle due to existing rules. Continue reading “Delaware Amends Corporation Law to Deal with COVID Complications”
Federal Prosecutors Put Pressure on PPP Fraudsters
When the Paycheck Protection Program (PPP) was first passed into law along with the Coronavirus Aid, Relief and Economic Security (CARES) Act in March, it was intended to help businesses through the economic difficulties caused by the coronavirus pandemic. Businesses who struggled with paying for employees and other essential expenses could apply for PPP loans to help them endure when their business operations were negatively impacted by the virus or by quarantine measures. However, some people have been abusing the program for their own personal gain, and the United States Department of Justice (DOJ) has begun cracking down on people making false filings for PPP loans. Continue reading “Federal Prosecutors Put Pressure on PPP Fraudsters”
COVID Business Interruption Insurance Case Dismissed by Indiana Court
In the first case of its kind to be decided across the country, an Indiana Court has dismissed a claim by a business attempting to recover money under its business interruption insurance due to the coronavirus. The case has caught a great deal of attention, as it may presage other similar cases being decided around the country, including in New York, where businesses struggled to stay open during the coronavirus quarantine. However, while it is tempting to ascribe a great deal of significance to this case, attempting to apply the ruling widely may be difficult. Continue reading “COVID Business Interruption Insurance Case Dismissed by Indiana Court”
Postmates Loses in Federal Court, Stuck with Hundreds of Arbitrations
Postmates is learning the hard way that mandatory arbitration clauses go both ways, as an Illinois court has ruled against its attempt to consolidate hundreds of arbitrations into a single proceeding. As a result, the food delivery company is facing millions of dollars in arbitration fees as it is forced to defend each individual arbitration. The ruling concurs with similar rulings made against Postmates in California, where it was also ruled that it cannot consolidate these arbitrations, no matter how costly to itself. Continue reading “Postmates Loses in Federal Court, Stuck with Hundreds of Arbitrations”
FTC Calls Use of Bots in Advertising a “Deceptive Practice”
The Federal Trade Commission (“FTC”) has sent a report to Congress on the use of social media bots in online advertising. Based on their observations, the FTC says that the use of these bots may constitute a “deceptive practice” under certain circumstances. This means that any person or company that uses bots for illicit purposes may be opening themselves to legal liability at some point. Continue reading “FTC Calls Use of Bots in Advertising a “Deceptive Practice””
Cryptocurrency Transactions Not Protected by 4th Amendment
The United States Court of Appeals for the Fifth Circuit has ruled that cryptocurrency transactions fall under the third-party exception to the Fourth Amendment. This means that cryptocurrency transactions can be monitored without a warrant, and law enforcement can seek information on cryptocurrency exchanges without consulting people who trade on those exchanges. This ruling will likely have a chilling effect on cryptocurrencies everywhere, as one of the central appeals of cryptocurrency is the supposed anonymity it affords. Continue reading “Cryptocurrency Transactions Not Protected by 4th Amendment”
Capital One Ordered to Release Forensic Report on Data Breach
A United States Magistrate Judge for the Eastern District of Virginia has ordered Capital One, the national bank, to release its forensic report on a data breach that occurred in 2019. The data breach affected about 100 million Capital One customers, and exposed sensitive financial data including Social Security numbers and information about credit card transactions. The decision may have a significant impact on many companies who wrestle with protecting the sensitive data of their customers. Continue reading “Capital One Ordered to Release Forensic Report on Data Breach”
The Complications of Corporate Dissolution
A corporation is meant to absorb the financial and legal liability its owners might otherwise accrue in the course of running their business. However, a corporation’s effectiveness is not limitless, and there may come a time when it becomes necessary to bring the corporation’s business to a close. When that happens, you will need to undertake a corporation dissolution, which can be a more complicated process than it first appears. Continue reading “The Complications of Corporate Dissolution”
Will Business Interruption Insurance Cover COVID Interruptions?
The coronavirus pandemic has resulted in businesses across the country being closed or forced to operation on a limited basis. Many businesses have business interruption insurance, insurance policies intended to cover instances where they cannot operate their business. The question these business owners have is this: will their business interruption insurance cover COVID-related closures and disruptions, or are they going to be left to handle the repercussions of the pandemic themselves? Continue reading “Will Business Interruption Insurance Cover COVID Interruptions?”
