Client Alerts, News Articles & Blog Posts

Everything you need to know about BMD and the industry.

Landlord Alert: CDC Issues Temporary Halt in Residential Evictions

On September 1 the Centers for Disease Control and Prevention (“CDC”) issued a nationwide temporary halt on all residential evictions through December 31, 2020.  With the July 24, 2020 expiration of the prior moratorium established under the CARES Act, the CDC based the new moratorium on the need to protect public health and the likely increase in the spread of COVID-19 if mass evictions take place.

Under the CDC’s Order, “a landlord, owner of a residential property, or other person with a legal right to pursue eviction or possessory action, shall not evict any covered person from any residential property in any jurisdiction to which this Order applies ***.”  Tenants facing the prospect of eviction and wishing to invoke the moratorium must provide the landlord with a signed declaration containing specific sworn statements including:

  • The tenant has used best efforts to obtain all available government assistance for rent or housing.
  • The tenant expects to earn no more than $99,000 in calendar year 2020 (or $198,000 for joint tax filers).
  • The tenant is unable to pay the full rent due to substantial loss of household income.
  • The tenant is using best efforts to make partial rent payments.
  • Eviction would likely render the tenant homeless.

While the CDC’s Order broadly defines what constitutes a residential property and is intended to halt all efforts to remove a tenant for failing to pay rent until the end of the year, it does not relieve the obligation to pay rent or to comply with any other lease obligations. Thus, the Order does not preclude evictions based on criminal conduct, health and safety concerns of other residents, violations of applicable health ordinances and building codes, or the violation of other lease obligations that do not include the timely payment of rent.

Landlords need to be mindful of the CDC Order and seek legal counsel if contemplating eviction between now and the end of the year. Penalties for not complying are steep for an individual and include (i) fines of up to $100,000 if the violation does not result in a death, (ii) fines of up to $250,000 if the violation results in a death, (iii) and can in addition include one year in jail. Penalties for an organization violating the CDC Order similarly are based on whether the violation resulted in a death and can climb as high as $500,000 per violation.

For questions for more information, please contact Member Blake R. Gerney at brgerney@bmdllc.com, or your primary BMD attorney.

Banking & Cannabis: The Next Frontier Webinar

On Tuesday, September 21st, BMD’s own Banking and Cannabis Partner, Stephen Lenn, hosted a star-studded cast of panelists in a webinar titled Banking & Cannabis: Cannabis Lending, The Next Frontier. The webinar, which had to suspend registrations when hitting a maximum cap of 500, aimed to explore issues related to cannabis and banking, with a particular emphasis on lending. With the sponsorship and support of the Bankers Associations of Arizona, Colorado, Ohio and Utah, Steve was able to recruit an elite group of bankers, bank regulators, cannabis industry players, and cannabis regulators, who took the topic head on. The discussion kicked off with an opening from the keynote speaker, VP of Congressional Affairs for the American Bankers Association, Tanner Daniel.

Is Your Bonus System Creating Wage and Hour Violations? A Hidden Impact of the Labor Shortages

As employers struggle with attracting and retaining talent, many have turned to incentives such as Signing Bonuses and Retention Bonuses. In doing so, employers may be inadvertently exposing themselves to overtime law violations. Employers with non-exempt employees know that the Fair Labor Standards Act (FLSA) requires an overtime premium to non-exempt for work in excess of 40 hours per week. However, all too often, employers miscalculate the “regular rate” of pay, which is used for calculating the “overtime rate.” The miscalculation is becoming more prevalent in today’s market when employers fail to include supplemental compensation, such as certain Signing Bonuses and Retention Bonuses into the regular rate of pay. An example: A non-exempt employee is hired at a rate of $20 per hour, and also receives a retention bonus of $1,200 after working for 12 weeks. In her 11th week of work, employee works 50 hours. In her 14th week of work, employee works 50 hours. What is her paycheck in week 11? What is her paycheck in week 14?

No Surprises Act – Notice Requirements

On July 1, 2021, the Biden Administration passed an interim final rule: Part 1 of the “Requirements Related to Surprise Billing Act,” in an attempt to curb excessive costs patients are required to pay in relation to surprise billing. The rule is set to take affect January 1, 2022, and will only affect those who are enrolled in insurance via their employers, as federal healthcare programs already prohibit this type of billing.[1]

El Contrato Escrito: La Herramienta Predilecta

No existe mejor herramienta a una disputa contractual que un documento firmado por las partes en el cual se expongan las obligaciones y acuerdos entre éstas.

New State Budget Institutes Licensure Requirement for Ohio’s Hospitals

On July 1, 2021, Governor Mike DeWine signed Ohio’s final budget codified at Ohio Revised Code 3722.01 et seq., which includes a new licensing requirement for Ohio’s hospitals. For years, Ohio was the only state in the country that did not license its hospitals. This approach will now be replaced with new, detailed requirements that will require careful review and compliance. Here are some of the highlights concerning these new changes: