Extract from H5’s article “Ill Effects of COVID-19: Beyond the Health Toll”
4 ways a company can be proactive in the face of the pandemic
With no immunity to effects of disrupted markets and a stalled economy, corporations and their law firms are feeling the impact of COVID-19 on myriad fronts. While budgets tighten, however, threats to companies increase, seeding the soil for potential legal actions that may arise even before the dust finally settles.
As some legal matters are put on hold or dropped completely, disruption and flowing (or not flowing) relief money are giving rise to new class actions and individual claims for breach of contract, workplace safety violations, improper termination and wage and hour violations, securities fraud and insider trading, and civil rights violations. More claims and investigations are expected as additional injuries and slights emerge from the wreckage. Bankruptcies and restructuring efforts are increasing too, as businesses lose their economic footing as the crisis draws out.
