Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: August 11, 2020
The Firm
201-896-4100 info@sh-law.comNew Jersey continues to roll out new programs aimed to help small businesses impacted by COVID-19. The latest, known as the Small Business Lease – Emergency Assistance Grant Program (SBL-EAGP) will allow eligible businesses to apply for grants of up to $10,000 for lease costs. The $6 million grant program will be funded via the CARES Act and administered by the New Jersey Redevelopment Authority (NJRA).
“We are committed to helping small businesses across our state survive this unprecedented crisis,” Governor Phil Murphy said in a press statement. “A stronger and fairer New Jersey starts from the bottom up. The Small Business Lease – Emergency Assistance Grant Program will infuse much needed funding into local economies by assisting both small businesses and the landlords that they rent from.”
To participate in the SBL-EAGP, businesses must be located in one of 64 eligible municipalities. They must also be commercial tenants currently leasing commercial space in mixed-use buildings, tenants leasing space in commercial buildings, and storefront businesses. Non-profits entities with the following designations will also be permitted to receive grant funding: 501(c)(3), 501(c)(4), and 501(c)(7).
To be eligible as a small business, the applicant’s leased premises must be less than 5,000 square feet of leasable space. Multiple locations leased by the same business must be aggregated. The program aims to assist businesses in need of assistance with monthly lease payments due to COVID 19; applicants do not have to be delinquent on their lease payment(s) to apply for this program. The NJRA will also assist applicants, delinquent as of March 1, 2020.
While most businesses will be eligible, the following are excluded: gambling and gaming activities, the conduct or purveyance of “adult” (i.e., pornographic, lewd, prurient, obscene or otherwise similarly disreputable) activities, services, products or materials (including nude, or semi-nude performances or the sale of sexual aids or devices); any auction or bankruptcy or fire or “lost-our-lease” or “going-out-of-business” or similar sales; sales by transient merchants, Christmas tree sales or other outdoor storage; any activity constituting a nuisance; or any illegal purposes. Tattoo shops, vaping and marijuana dispensaries and any business involved in selling alcohol are also ineligible.
Applicants must provide the following to be considered for the program:
Under the terms of the grant agreement, both the tenant and landlord are required to sign a commitment that once NJRA releases funds and “payment” is received for the lease obligations, the landlord must certify the tenant will not be displaced during this period of recovery (that is, for the time period for which the grant paid the lease obligations). Additionally, the landlord must agree not to seek any remedies against the tenant for not paying the lease obligations that were paid by the grant. In the event the landlord displaces tenant after receipt of the lease payment, the Landlord will be responsible for reimbursing the NJRA for the total amount of the grant awarded.
The application portal opened August 10, 2020 at 9:00 am. Applications will be handled on a first-come, first-served basis. According to the NJRA, “the volume of applications anticipated during this period is expected to reach numbers that may result in additional review of applications to determine eligibility.” Accordingly, time is of the essence for small businesses seeking to apply for a grant.
If you have any questions or if you would like to discuss the matter further, please contact me, Ashley Brinn, or the Scarinci Hollenbeck attorney with whom you work, at 201-896-4100.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Cryptocurrency intimidates most people. The reason is straightforward. People fear what they do not understand. When confusion sets in, the common reaction is either to ignore the subject entirely or to mistrust it. For years, that is exactly how most of the public and even many in law enforcement treated cryptocurrency. However, such apprehension changed […]
Author: Bryce S. Robins
Using chattel paper to obtain a security interest in personal property is a powerful tool. It can ensure lenders have a legal claim on collateral ranging from inventory to intellectual property. To reduce risk and protect your legal rights, businesses and lenders should understand the legal framework. This framework governs the creation, sale, and enforcement […]
Author: Dan Brecher
For years, digital assets operated in a legal gray area, a frontier where innovation outpaced the reach of regulators and law enforcement. In this early “Wild West” phase of finance, crypto startups thrived under minimal oversight. That era, however, is coming to an end. The importance of crypto compliance has become paramount as cryptocurrency has […]
Author: Bryce S. Robins
Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]
Author: Matthew F. Mimnaugh
Special purpose acquisition companies (better known as SPACs) appear to be making a comeback. SPAC offerings for 2025 have already nearly surpassed last year’s totals, with additional transactions in the pipeline. SPACs last experienced a boom between 2020–2021, with approximately 600 U.S. companies raising a record $163 billion in 2021. Notable companies that went public […]
Author: Dan Brecher
Merging two companies is a complex legal and business transaction. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process that involves important corporate governance considerations. A short form merger, in which an acquiring company merges with a subsidiary corporation, offers a more streamlined process. However, […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!