The Latest Coronavirus Litigation
Like everything else at this time, the legal system has seen numerous changes because of COVID-19. From contract violations to rent disputes and price gouging, here is what you need to know about recent Coronavirus litigation.
Real Estate
Businesses across the United States are being taken to court by their landlords after failing to pay rent in recent months. The landlords claim COVID is not a sufficient reason to miss payments.
Gap, Ross Stores Inc., and Chuck E. Cheese are among some of the bigger names to be included in lawsuits. It remains to be seen how courts will handle COVID-related disputes moving forward.
Contract Disputes
While COVID-19 continues to disrupt business, some allege it is no longer a valid excuse.
EFS Midstream LLC has sued Sundance Energy Inc. in Texas over contract obligations. EFS has accused Sundance of refusing to pay pipeline gathering fees after failing to meet the minimum amount of annual revenues. EFS is claiming that COVID-19 does not nullify the contractual obligation.
A Chinese manufacturer of aluminum alloy wheels used by several major American automakers is seeking help from the federal courts. After failing to fulfill minimum shipments due to COVID-19, the manufacturer is arguing that a U.S. warehousing company is obligated to arbitrate as per the contract.
Employment Issues
A 62-year old IT employee formerly with Shearman & Sterling LLP sued them for age discrimination. He claims he was one of the first few to be laid off due to the pandemic, despite his 25 years of service with the company.
A Florida man is suing his former employer for wrongful termination. After complaining about overtime violations and a lack of health precautions and equipment, he was released from his job.
United Airlines was also hit with a lawsuit last week. After initially promising to not cut workers’ pay or benefits in exchange for federal funds, the company reneged.
Consumer Protection
Numerous colleges across the United States have been hit with lawsuits in recent weeks. Students are seeking relief for tuition and other fees. They claim classes have been sub-par and prepaid fees such as dining, fitness, or transportation deserve attention.
eBay is also under heat for price gouging. They have allegedly been urging their sellers to raise rates on masks and other protective equipment in high demand.
Dining & Beverage
Some companies in the hospitality industry are facing scrutiny after employees have contracted COVID-19. A fatal case in Pennsylvania resulted in the family suing the former employer for negligence.
A similar case in Texas has been filed after a forklift driver fatally contracted the disease. Both cases are the first of their kind.
Policy Making
The Trump administration has been sued by a nonprofit government watchdog for refusing to release high-level communication regarding the pandemic. The watchdog claims the Freedom of Information Act requires them to do so. The suit includes the Treasury Department, State Department, HHS, Medicare Service, and the Department of Health and Human Services.
If you are wondering how COVID-19 is going to affect your real estate, let our team help you out. For legal guidance on staying compliant, get in touch with a litigation attorney at Lee Scott Perres, P.C.
