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Commercial tenants receive protection from eviction

In summary, and in edition to other measures announced by the Government, no business will be forced out of their premises if they miss a payment in the next three months (currently up to 30 June 2020 but there will be an option for the Government to extend this). This measure applies to all commercial … Continue Reading

Now that the UK is in lockdown, what do the new measures mean for UK businesses?

This note explains which businesses must close and considers how the restrictions on movement of people impact on essential businesses. For insolvency practitioners, the decision to close non-essential businesses will impact on what options are available if a business is in distress and has to go into an insolvency process. It will also impact on … Continue Reading

The impact of the announcement that the UK is now locked down on businesses and insolvency appointments

The Prime Minister announced tonight that all shops selling non-essential goods in the UK are to close immediately and except in specific circumstance people will not be allowed to leave their homes – all social gatherings and social events are to stop.  This measure will be reviewed in three weeks. The important questions that these … Continue Reading

Unprecedented economic intervention announced by the Chancellor to help UK businesses – the latest support announced

We are in unprecedented times but the announcement this evening by the UK Chancellor included unprecedented financial support aimed at easing cash flow, supporting jobs and providing further support to UK businesses. The two key announcements were that (1) the UK Government will pay 80% of employees wages; and (2) the Coronavirus Business Interruption loan … Continue Reading

Key issues for closing (and re-opening) licensed premises in the UK

UK government advice and the escalation of Coronavirus crisis have meant that many hospitality and leisure operators, including hotels, restaurants, pubs, some retailers and visitor attractions, are making difficult decisions to plan for reduced activity and reduced demand for several weeks, including in some cases, temporary suspension of activities and/or closure of premises/venues. There are … Continue Reading

Germany suspends the obligation for companies to file for insolvency

The German Federal Ministry of Justice and Consumer Protection is preparing new legislation suspending the obligation to file for insolvency in order to protect companies that encounter financial difficulties due to the coronavirus crisis (see here). According to section 15a(1) of the German Insolvency Code (Insolenzordnung), managing directors or management board members of legal entities … Continue Reading

Which steps is Germany taking to respond to COVID-19 and assist potentially stressed/distressed companies?

Due to its constitutional and legal system, Germany is different from a number of other countries around the world. Measures fighting the spread of COVID-19 in Germany cannot be taken at the central government level in Berlin (Bundesregierung) but have to be taken by the governments of the 16 states (Landesregierungen), which constitute the Federal … Continue Reading

How do you know if your business is an essential service?

Globally, most nations affected by Covid-19 have restrictions in place that significantly impact business operations.  In some cases requiring businesses to temporarily shut the doors whilst balancing that against the need to maintain essential services.   But how can a business identify whether it is an essential service?  This note explores that question.… Continue Reading

Directors’ Duties and Covid-19 – a view from the UK

Given the current pressure all businesses face dealing with the effect of Covid-19, it is important that directors understand what their duties are in respect of insolvent companies or companies that are at risk of heading towards insolvency. In this blog we briefly remind directors what their duties are, the potential claims that could be … Continue Reading

More detail about the financial support available to UK businesses

The UK Chancellor confirmed additional financial support would be provided to UK businesses. Our blog yesterday set out an overview of the support available. This alert provides further details about that package of measures. Details about the Coronavirus Business Interruption Scheme, can be found here and we are working with our clients to arrange support … Continue Reading

How to manage business risk posed by Covid-19: self-assessment tool

Squire Patton Boggs is working hard to support clients to navigate legal issues and manage risk posed by Covid-19. We have created an online tool for businesses to self assess their contingency arrangements. The self-assessment tool will take a maximum of 15 minutes to complete. Within 24 hours, you will be sent a summary, which will map … Continue Reading

Managing business risk as the UK announces it is moving into the delay phase

Yesterday, following a meeting of the Cobra committee the Government announced that the UK has moved into the “delay” phase of its plan aimed at tackling the coronavirus outbreak. For businesses the main impact will be operational given that anyone who shows certain symptoms has been advised to self-isolate for 7 days, regardless of whether … Continue Reading

Chapelgate- a costly blow for UK commercial funders?

The English Court of Appeal in Chapelgate Credit Opportunity Master Fund Ltd v Money and others [2020] EWCA Civ 246 confirmed last month that the Arkin rule (which provides for a cap of the funding costs payable by a non-party) is not binding.  In this blog we consider what impact that might have on insolvency … Continue Reading