- Posts by Jamey Mavis LowdermilkAssociate
The USDA will begin accepting applications for direct payments to farmers Tuesday, May 26. These payments originate from the USDA Coronavirus Relief Fund Program (CFAP) that aims to reimburse farmers who have lost revenue from price declines or market disruptions.
The USDA expanded eligible producer groups to the categories listed below. Additionally, the USDA seeks comment from ineligible producers “who believe they’ve suffered a five percent-or-greater price decline between January and April 2020, and who face additional marketing costs due to ... Read More
On Friday, April 17, 2020, USDA introduced the Coronavirus Food Assistance Program (CFAP), which aims to compensate farmers, maintain supply chains, and support food security. At least $19 billion will be distributed to agricultural producers under CFAP through two mechanisms, direct payments and commodity purchases. Note that the Agricultural Marketing Service (AMS) expects to release its solicitation for food box distribution proposals on Friday, April 24, 2020, with applications due by the following Friday, May 1.
Direct Payments: $16 billion
Commodity producers will ... Read More
When a company’s customers declare bankruptcy, the company faces significant risk. These risks range from the obvious—for example, nonpayment of past-due invoices—to the not-so-obvious—e.g., preferential and voidable transfer actions. Given that multiple industries, including retail and food service, have been sidelined due to COVID-19, businesses will likely find many of their individual and commercial customers in vulnerable situations for the immediate and intermediate future.
However, there are ways to minimize vulnerability by following a reasonable ... Read More
As a result of the COVID-19 pandemic, companies are facing a wide array of business challenges, many of which would likely not have been contemplated a few weeks ago. These challenges increasingly include government-ordered shutdowns and financial turmoil that may make maintaining existing operations exceedingly difficult. With this uncertainty, many businesses are reviewing their key contracts to see what protections, and potential issues, may exist.
While all contracts are unique and require individual analysis, there are a few key clauses and considerations that all ... Read More
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