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Last month, my colleague Christopher Knarr and I presented a webinar for the Pennsylvania State Association of Township Supervisors (“PSATS”) on the importance flexibility in zoning ordinances. When we put the presentation together in early 2020, we expected to be speaking in person at PSATS’ annual conference. Obviously, COVID-19 changed those plans. The economic impacts of the virus, however, only made our topic timelier.

From national retail chains to local restaurants, every day seems to bring a new headline of another business closure. Even in industries that have remained strong throughout the crisis questions remain about how we will define the “new normal.” Are large office complexes a thing of the past? Can companies reduce their physical footprints (and thus their overhead) by allowing employees to continue to work remotely even after the threat of the virus have waned? And, if we do continue to meet in virtual spaces rather than physical ones, what will happen to the restaurants, retail stores, and offices that we once occupied?
Continue Reading Defining the “New Normal”: How Flexible Zoning Can Help us Rebuild our Communities

In recent months, the Coronavirus pandemic and reignited social unrest following the death of George Floyd have highlighted ongoing issues in our communities regarding unequal access to quality healthcare, affordable housing and educational opportunities. As society struggles with identifying all the causes of this disparate treatment, we sometimes forget the role in that system that land use ordinances historically played and continue to play to this day. Land use ordinances can be used to socially engineer a community under the guise of “planning.”

We are taught that zoning began as a community building tool in the United States as a way of ensuring “compatible” uses were near each other and incompatible uses were separated. The thought was that stronger communities could be built by keeping zones or districts of compatible uses together. But has this been the only use of zoning?
Continue Reading Land Use Ordinances: Tools for Community Planning or Social Engineering?

The immediate and long-term effects of the COVID-19 pandemic are expected to change the way businesses operate and communities plan, zone and regulate land use and development.  Below is a summary of a few issues and trends facing communities and businesses.  Municipalities should proactively approach this “new normal” and consider modifying zoning and other land…

As you have undoubtedly heard, the COVID-19 pandemic caused countless businesses to turn to their insurance companies for assistance, making claims under their policies for business interruption coverage.  While every insured’s policy is different, insurance companies are almost universally denying such claims.  Business owners are left frustrated and wondering what exactly they have been paying for when it comes to business interruption coverage.

In denying claims, insurance companies argue that business interruption insurance is not meant to cover closures related to COVID-19.  Under most policies, business interruption coverage only applies if there has been a direct physical loss of use or damage to property related to a covered loss.  While many insureds argue that a virus contaminating the surface of their property is a loss of use, and thus covered, insurance companies have generally rejected such arguments, instead requiring direct physical damage.
Continue Reading Business Interruption Insurance: An Uncertain Path

On May 4th, 2020 ,the Governor’s Office issued new guidance for businesses as they become authorized to restart in-person operations pursuant to the Administration’s phased red-yellow-green plan.  The guidance, which can be found here, includes a series of mandatory protocols designed to reduce the spread of COVID-19 between and among employees and customers.  These protocols are binding upon “[a]ll businesses in all industries and sectors of the economy (including non-profit entities), in the Commonwealth, that are permitted to conduct-in person operations…unless they are otherwise more stringently regulated under separate industry-specific guidance”.

Recently, the Governor’s Office announced that twenty-four Pennsylvania counties will transition to the “yellow” phase on May 8th, thereby authorizing businesses in those counties to restart in-person operations on a limited basis. 
Continue Reading May 8 Opening: Guidance (Portions Mandatory) From The Commonwealth For Businesses

On April 22, Governor Wolf announced an amendment to his standing shutdown and shelter in place order that permits construction projects to resume statewide on May 1st.  This news comes just days after the Governor’s office released its “Plan for Pennsylvania,” which authorized “limited construction” activities beginning on May 8th.  Per…

Steve Matzura, Andrew Levy and Austin Wolfe recently issued a client alert updating our clients on newly required safety measures for COVID-19 in the workplace.  The first half of the alert is below, but you should contact one of the authors for more details or the full alert.

The Pennsylvania Department of Health issued an Order effective April 15 requiring social distancing, cleaning, use of masks for employees and visitors, and other mandatory mitigation protocols for businesses authorized to maintain in-person operations during the ongoing COVID-19 emergency (except for healthcare providers). This Order expands on the Department of Health’s prior order effective April 6 that required building safety and cleaning measures for certain businesses.  Employers have only a few days to comply with the April 15 Order, as it becomes enforceable on April 19, 2020 at 8:00 PM.
Continue Reading Workplace Regulations: PA Newly Required Safety Measures for COVID-19

Here is a headline most developers and builders would not want to see associated with their project: “’Life-sustaining’ casino? Construction continued in South Philly despite Gov. Wolf’s coronavirus shutdown. At least two workers have tested positive.”  Per the above Philadelphia Inquirer article, what has made matters worse for the developer are claims from many trades that the developer, a very large international development company, “wasn’t doing enough to protect them from being infected.”  Moreover, the developer’s “waiver” from the Governor’s Order, that essentially closed all non-life-sustaining businesses (more information available throughout this blog) to combat the COVID-19 coronavirus, is now at risk.

The story provides a great example of what not to do to if you want your business to avoid bad public relations, sick and upset employees and contractors, potential related lawsuits, and putting your waiver at risk.  Below are three short lessons pulled from the article:
Continue Reading A Story of Warning for Developers & Builders Operating in Pennsylvania

Overview of Force Majeure
With COVID-19 headlines dominating the news cycle, and with no end in sight to the uncertainty that the virus brings, affected businesses are wise to consider whether the current pandemic qualifies as a “force majeure.”  In the last few weeks, the Chinese government has issued “force majeure certificates” to domestic businesses as a way of shielding companies from breach of contract claims, American businesses are sending mass e-mails to customers explaining that the virus prevents the company’s performance or operations, and businesses in an array of industries have sent formal inquiries to their service providers seeking confirmation of continued performance.

What is “Force Majeure”
The defense of force majeure will excuse a party’s performance under a contract if
Continue Reading Force Majeure Provisions and the Impacts of COVID-19

Black Box Kitchens, Dark Kitchens, Ghost Kitchens, or Zombie Kitchens.  Terms like these may sound scary, like the stuff of nightmares.  But these terms are used to describe an emerging food service industry concept known as “virtual restaurants.”

Very simply, virtual restaurants are kitchen-only restaurants.  With the rise of online and mobile app food delivery services, such as GrubHub, Uber Eats, Favor and DoorDash, traditional “brick-and-mortar” restaurants are turning more often to virtual restaurants to keep up with their customers’ preferences and demands.  There are no in-restaurant ordering or dining facilities:  no registers, no servers, no money, no tables or chairs.  Virtual restaurants are commercial kitchens purely for processing, preparing and fulfilling food orders.

Virtual kitchens can take many forms. 
Continue Reading Don’t be Afraid of Ghost or Zombie…Kitchens