By: Harsh Arora, Partner in Kelley Kronenberg’s Fort Lauderdale office focusing his practice on business litigation and handling complex and international corporate transaction matters. He has represented multinational businesses as their outside general counsel.
The health of a business is directly associated with the health of its employees, suppliers, and customers, and as such, business must prepare for the impacts from this COVID-19 pandemic, ranging from supply chain interruption to employment issues. Businesses should:
1. Review all contracts with suppliers and customers to evaluate whether such contracts contain protective provisions such as force majeure or indemnification that will provide some relief as to the performance obligations. If there are no protections available under a contract, businesses should proactively seek amendments or written extensions for performance.
2. Check if the business has a fully comprehensive business continuity plan in place to identify threats to the operations of the business and provides mitigation methods which would allow businesses to continue essential operations and functions.
3. Review internal policies and procedures to combat potential issues relating to a COVID-19 outbreak relating to employees.
4. Check if business interruption insurance policies are in place, and if so, review same for coverage options.
5. Keep up to date and stay informed due to the ever-changing effects of COVID-19 in order to prepare for potential damages, mitigate risks and damages, and to prepare for the potential for disruption of operations.
Disclaimer: This article is intended to provide you with general information regarding the impact of a potential or actual coronavirus pandemic. The contents of this article are not intended to provide specific legal advice.
For more information, please contact Harsh Arora, firstname.lastname@example.org or TEXT, 954-256-0743.