The outbreak and rising community spread of the novel coronavirus strain known as Covid-19 in the Greater Los Angeles area will continue to fundamentally change the way that individuals live and businesses operate. Among the most recent and wide ranging impacts occurred with the various “Safer at Home” orders issued on March 19, 2020 by California Governor Gavin Newsom, Los Angeles Mayor Eric Garcetti, and the Los Angeles County Public Health Department, among other government agencies, and all updates and modifications thereto.
Stone & Sallus LLP have been addressing and navigating clients through a multitude of complex legal issues directly resulting from these events. Our attorneys have most frequently been addressing these issues on an emergency basis with a particular focus on South Bay and Los Angeles-based business impacts.
Leases, Licenses And Landlord-Tenant Issues/Related Insurance Issues
- analysis of leases, licenses and related contracts and advice regarding excuse from performance based upon governmental orders, and force majeure, impossibility, impracticality, frustration of purpose, mitigation of damages doctrines
- analysis of commercial property insurance policies and advice regarding coverage for business interruption and related cancellation/postponement losses
- analyzing, addressing and negotiating issues regarding amendments to leases for necessary operational changes to leased businesses, including impacts from work from home requirements
- providing advice on pre- litigation and landlord litigation strategies related to effects of business closures, rent relief and related issues, including prior experience in arranging and conducting mediations remotely
Real Estate Sales/Acquisitions
- assessing and advising on renegotiation of purchase prices, diligence periods, financing contingencies, tenant warranties and representations arising from current events
- analyzing and advising on real estate loans and loan covenants including assessment of force majeure and related excuses for non- performance
Business Restructuring/ Bankruptcy Options
- analysis of pertinent contracts, debt and loan documents and related data and advice/negotiations regarding disruptions to financial covenant compliance, and impacts on revenue, liquidity and supply chain operations
- advice regarding corporate reporting, oversight and disclosure obligations based upon new financing, supply chain and related operational changes
Employment Issues
- analysis and advice regarding workplace measures to address the current situation, including travel restrictions, stay at home requirements, remote teleworking arrangements, sick leave and other disability and leave obligations
- analysis and advice regarding reduction in force and employee termination and lay off issues
Construction Issues
- analysis and advice regarding impacts of governmental orders and regulations on construction projects including measures to address these restrictions
- analysis and advice regarding excuse from performance based upon force majeure and impossibility, impracticality, frustration of purpose and mitigation of damages doctrines
