The coronavirus pandemic has flooded people’s minds with unquestionable doubts and uncertainty. For most, life and work have come to a complete and unexpected halt. The economy has plummeted, forcing countless businesses to temporarily close thus leaving numerous people out of work. For businesses lucky enough to keep their doors open are suffering at the hands of a reduced workload. The pandemic has caused, and continues to cause, distressed business owners and corporate shareholders to restructure and adapt to these challenging times. Big and small companies alike are trying to avert insolvency and utilize various relief options to mitigate the hardships. Unfortunately, we fear that we are still in the beginning stages of these struggles with no definite end in sight, and the somber truth is that while some companies will sustain, many others will not. For those that cannot, a Court-Appointed Receiver can help ease the difficult process of liquidating company assets and restructuring corporate frameworks.
By Neil Sheaffer It is the unfortunate truth that many businesses in all industries are struggling as we proceed through uncharted economic times. In recent days, both J. Crew and Neiman Marcus filed for Chapter 11 bankruptcy protection, and this is likely only the beginning of a large wave of bankruptcy filings as businesses struggle to find their footing.
At the time of writing this post, the number of Coronavirus (COVID-19) cases in the United States is rising. The World Health Organization (WHO) officially declared a pandemic. The Governor of California issued a “Stay-at-Home” Order to reduce the spread of the coronavirus by limiting non-essential activity. The courts in California are generally closed to the public. Being engulfed in the receivership industry, we have extensive experience with unsafe and unsanitary living conditions. Griswold Law often deals with properties that pose significant health and safety risks to communities across California. However, the COVID-19 outbreak is the first public health emergency that caused California to quarantine itself. Griswold Law is adapting as quickly as possible to these changing circumstances.
Health and Safety Receiverships can successfully remedy substandard commercial properties in California. Substandard commercial properties may be neglected by absentee owners or landlords causing the property to fall into distress or disrepair. Maintenance needs of substandard income-producing commercial properties are often ignored by the owner to maximize profit by minimizing expenses on needed maintenance. A Court-Appointed Health and Safety Receiver can be the solution to protect communities and tenants from substandard commercial properties.
A Health and Safety Receivership is a legal remedy to combat neighborhood blight and transform problematic properties back into safe and habitable structures. A house or building within a community may be deteriorating due to various reasons ranging from severe hoarding, contaminated or unsafe living environments, or owner abandonment. Deteriorating properties are usually produced because no responsible party is willing or able to address the problems on the property. Whether due to an uncooperative property owner, quarreling heirs, disputes regarding title, or an owner that cannot be located, the structure or dwelling is poorly maintained making it an eyesore and hazard to the community. When a property is in severe disrepair and a danger to its tenants or neighboring residents, the property will affect the entire neighborhood.