Garibian Law Offices, P.C.

PENNSYLVANIA ANNOUNCES MAY 8 RESUMPTION OF CONSTRUCTION - WITHOUT SPECIFIC SAFETY GUIDELINES. Amidst the controversy surrounding the reopening of the state economy, Pennsylvania Gov. Tom Wolf vetoed Senate Bill 613, which would have required the Wolf administration to follow federal guidelines in determining which businesses to reopen. In conjunction with the veto, however, Governor Wolf announced that construction can resume in the state on May 8, in accordance with certain... safety guidelines that have yet to be released. On March 21, Wolf shut down all "non-life sustaining business" in the state, including all but essential construction projects. The administration has faced criticism of how it has handled the determination of which businesses must close and which can remain open. Until the safety guidelines are released, businesses are left largely to figure out on their own what requirements will be put into place. While social distancing, personnel limits and safety equipment are certain, additional requirements should be released as soon as possible so that effected businesses can adequately prepare well in advance of any applicable opening dates. For guidance on how to navigate your business through these uncertain times, please contact us at [email protected] or by Facebook message.

BEFORE YOU SIGN YOUR PPP LOAN DOCUMENTS.... As businesses and sole proprietors begin to receive their PPP loan documents, the temptation is to simply click through and sign everything - particularly because many banks are telling you to do this as "soon as possible." Don't be rushed. It can be risky and dangerous down the line. The loan document you are signing is a legally binding contract - with significant consequences and provisions that are critical to understand.... A simple review of the loan documents does not have to take a long time or be costly. We can quickly and efficiently walk you through these loan documents to make sure you understand every aspect of the loan. Of course, many businesses need the funds as soon as possible. But for the sake of your business, it is worth taking the time to review the documents with a legal professional to avoid any surprises for you down the line. Please contact us at [email protected] if you have any questions on your PPP loan documents.

SBA FINALLY issues PPP Guidance for Self Employed Individuals While Congress works through the issue of providing additional funding to the depleted PPP, the SBA continues to issue new guidance on the program. In a long awaited update, the latest guidance fleshes out issues related to self-employed borrowers, including rules for eligibility, calculating the loan amount and loan forgiveness. Here are some important takeaways: 1) Schedule C filers ARE eligible for PPP loans i...f they have or will file a Form 1040 Schedule C for 2019; 2) Partners of partnerships are not eligible for a PPP Loan as self-employed individuals, but rather as a loan taken by the partnership for payroll costs; 3) The loan of a self-employed individual is calculated differently - depending on whether they do or do not employ other individuals (details are provided in the interim rule); 4) Documentation: Schedule C filers will have to submit Form 941 and state quarterly wage unemployment insurance tax reporting forms (or something equivalent from the payroll company) for the covered period. Any non-payroll costs will also have to be supported with documentation. Additional guidance is expect to be issued to clarify remaining issues. For now, the interim final rule is linked here: https://home.treasury.gov//Interim-Final-Rule-Additional-E

IMPORTANT COVID-19 RESIDENTIAL CONSTRUCTION UPDATE IN PENNSYLVANIA Many of our Pennsylvania clients have inquired about the status of restrictions on residential construction - and are unclear as to what is and is not permitted. As the weather improves, this is normally a time of year when construction activity would be ramping up. Governor Wolf recently issued clarification of the March 19, 2020 Executive Order, which restricted the activities of non life-sustaining busines...ses. These new clarifications replace previous guidance, including requests for exemption that were granted, denied or deemed unnecessary. Per the Governor's office, residential construction projects that are substantially complete may continue to completion. Projects that are substantially completed are those projects that have been issued a final occupancy permit. For all other residential construction projects, limited activities may continue to the extent necessary to stabilize the site, temporarily prevent weather damage, or make emergency repairs only. Emergency repairs, limited to performing those tasks necessary to provide repair services to customers, may continue. No new construction or non-emergency rehabilitation or remodeling may be performed. For further information regarding what operations constitute or support a life-sustaining business sector, please see the Department of Community and Economic Development’s guidance available at https://dced.pa.gov/resources. If we can be of any assistance, contact us directly at [email protected].

If you bank with Wells Fargo, please be advised that Wells is no longer accepting PPP Applications.