Blogs

 https://www.bloomberg.com/news/features/2020-09-29/new-york-city-bankruptcies-2020-pivotal-point-for-business-as-covid-cases-rise Originally appeared on Bloomberg
Almost 6,000 city businesses have closed. Recovery hinges on office workers’ returnThe pandemic has battered New York City businesses, with almost 6,000 closures, a jump of about 40% in bankruptcy filings across the region and shuttered storefronts in the business districts of all five boroughs.It’s going to get worse.This fall, the nation’s largest city will see even more padlocked doors as companies burn through federal and private loans they tapped in March, landlords boot businesses that can’t make rent, and plummeting temperatures chill outdoor dining and shopping. “By late fall, there will be an avalanche of bankruptcies,” said Al Togut, a lawyer who has handled insolvencies for small businesses and huge corporations like Enron. “When the cold weather comes, that’s when we’ll start to see a surge in bankruptcies in New York City.”New York City and its businesses have reached a pivotal point. After over six months with the specter of Covid-19 hovering in every subway car and corner bodega, the virus is showing signs of resurgence.The state of New York on Saturday reported more than 1,000 new cases for the first time since early June. Spikes emerged in south Brooklyn and Queens neighborhoods with large Orthodox Jewish communities, just as they observed Yom Kippur. Meanwhile, principals called on the state to take over schools days before they restart in-person classes, saying Mayor Bill de Blasio failed to ensure enough staff to open safely.
 Pedestrians pass by a closed storefront on Madison Avenue.The coming wave of business closings will touch every New Yorker as jobs get scarcer, neighborhoods lose beloved shops and families run out of cash.Already, dwindling tax revenue has led to cutbacks in municipal services. Trash on sidewalks, unkempt parks and an increase in shootings have made it more difficult to persuade workers to return to offices, more than 150 executives told the mayor in a letter this month. A dearth of office workers is a death knell for many merchants.“It’s a crisis, and we need to act—our economy can’t recover without saving small businesses,” said city Comptroller Scott Stringer, a candidate in next year’s mayoral election. “When they close, we don’t just lose our beloved Main Street businesses. We lose jobs, tax revenue and the economic backbone of our city.”The pandemic could permanently close as many as a third of New York’s 230,000 businesses, according to the Partnership for New York City, a business group.Bankruptcy filings in the region have skyrocketed since the middle of March, when the state of New York reported its first deaths from Covid-19 and Governor Andrew Cuomo closed all nonessential businesses. There were 610 filings in the Southern and Eastern Districts of New York from March 16 to Sept. 27, according to court records. That’s a 40 percent jump from the same period in 2019 and the most by far for any year since the financial crisis. The districts include some nearby counties.Almost 6,000 New York City businesses closed from March 1 to Sept. 11, according to Yelp, the website of user reviews. Over 4,000 of those closed permanently.The carnage has been demoralizing after decades in which the city fought back from the brink of bankruptcy, the scourges of crack cocaine and violent crime, terrorist attacks and recession. The pandemic hit as the city had achieved record high employment and low crime.
 Diners eat outside a French restaurant in front of a storefront for lease.
Prosperity expressed itself in bustling department stores from Bergdorf’s to Macy’s. Neighborhoods flourished with artisanal food and clothing boutiques, mom and pop stores, and coffee shops that gave New Yorkers a place to feel at home outside their tiny apartments.The nation’s business capital has always rebounded from past crises, but the advent of work-from-home in an economy increasingly dependent on white-collar jobs may be an insurmountable challenge.Distress is on display on Madison Avenue, once a global destination bustling with glamorous shoppers. From 60th Street to 70th Street today, about 60 of the 130 storefronts are closed and locked. Padlocked doors and windows covered with butcher paper or plywood line a quiet boulevard. Even inside the luxury retailers that remain open, like Dolce & Gabbana and Prada, a handful of well-coiffed sales people and broad-shouldered security guards stand expectantly on sales floors empty of customers.The owner of Jimmy’s Steak and Grill, a food cart on the corner of Madison and 60th, said that with nearby office buildings empty, sales of hot dogs and lamb-on-rice platters are down 60%.“Right now, I’m supposed to have a line,” Jimmy Gonzalez said through a black mask, motioning mournfully to the empty sidewalk. Over half the food-cart owners he knows gave up. “They sell the cart, they sell the permit, they sell everything.”Small businesses like Gonzalez’s show what’s at stake when big employers keep workers away from office towers. Manhattan businesses that use the digital payment system Square are earning only 62% of the revenue they earned pre-pandemic, according to the company.
 A padlock on the door of Carroll Gardens Classic Diner, a neighborhood restaurant now permanently closed after struggling during the pandemic.
“This is likely a result of a significant drop in the number of commuters coming into the borough,” according to Square economist Felipe Chacon.By late September, just 15% of the city’s 1.2 million office workers had returned, according to the Partnership for New York City.“Retail and real estate will continue to decline in New York until you can reignite the office traffic,” said Joseph Malfitano, who advised Brooks Brothers and the parent company of Ann Taylor in their bankruptcies this year.Many New York City business owners who give up don’t even bother filing for bankruptcy, which can cost as much as $25,000, according to Leslie Berkoff, a longtime bankruptcy attorney. Owners just lock the doors and walk away.“What’s the point of bankruptcy? Nobody’s going to chase you right now,” said Berkoff. “A lot of your vendors probably aren’t going to survive either.”That’s what cheesemonger Patrick Watson, the owner of Stinky Bklyn in the Cobble Hill neighborhood, did when his landlord refused to renegotiate his rent. Watson quickly sold off his inventory of imported Brie and Humboldt Fog and donated the remaining staples —cans of tuna, crackers and condiments—to a homeless shelter.“We tried. We really, really tried,” Watson wrote on Facebook in April. “For the safety of our crew and with no immediate end in sight, Sunday will be our last day.”About 10 neighboring businesses also closed, including a diner, a bar and a hair salon, said Randy Peers, president of the Brooklyn Chamber of Commerce.Sales remain brisk at Watson’s other business, a wineshop called Smith & Vine, possibly indicating heightened stress levels in the city.In an effort to help restaurants, the city closed dozens of streets on weekends so they can take that space, and it’s going to continue the program into the winter, allowing propane heat lamps and tent-like enclosures.“Once you hit below 60 degrees, it starts to get dicey,” said Vin McCann, a restaurant consultant. “I would bet you that between 25 and 50 percent of restaurants in New York City will not come back.”Rent relief could be possible if the state allowed localities to forgive landlords’ property-tax payments in return for discounting rent owed to them, said City Councilman Mark Gjonaj, who heads the council’s small-business committee.“This would help save struggling mom-and-pop shops while preventing landlords’ properties from going into distress,” he said.The city’s Department of Small Business Services received about 35,000 calls for help since June and gave out about 4,000 grants and loans from an $80 million program approved early in the pandemic.“A third of our small businesses could be closed if we don’t have a strong recovery,” said Jonnel Doris, the department’s commissioner. “The fate of small businesses will determine the fate of the city.”
 A “For Lease” sign hangs in the window of Stinky Bklyn.
 

As an elderly loved one reaches the last few months or so of their life, family members can experience profound sadness as they wait for their departure. To make matters even worse, an elderly loved one may be suffering from undue influence, in which another party has come into their life to take advantage of the situation for personal benefit. It is important for family members to be informed about the signs of undue influence, so if it happens they can intervene immediately.

Devastatingly, many families do not know undue influence occurred until after their loved one has passed away. Family members may then find out that they were recently disinherited or other drastic changes were made to the elder’s estate plan. At that point, they may wonder what they can do to set the record straight about their relative’s wishes. The very first step is meeting with an estate litigation attorney for information about filing for estate litigation due to undue influence. 
If you observe any of these signs in your loved one prior to passing away, it is crucial that you act quickly and recruit an attorney for prompt legal intervention:

• The elder has suddenly stopped calling family members or refuses to accept phone calls, when they used to speak on the phone often.
• The elder is exhibiting signs of severe mood swings or resistance to care while living in a nursing home.
• The suspicious person prohibits family members from visiting the elder, claiming the elder needs to rest, and doesn’t want to be disturbed. 
• The elder suddenly becomes less independent and relies on the suspicious person to do certain tasks for them.
• The suspicious person makes attempts to distance the elder from other helpers, such as social workers, in-home caregivers, nurses, and doctors.
• The suspicious person monitors phone calls by recording them, putting the phone on speaker, or insisting on being on the other line. 
• There are bank account transactions that could not have been run by the elder due to living in a nursing home.
• There has been a recent increase in bank transactions that do not seem to be related to the elder at all. 
• The elder has started exaggerating symptoms and ailments, expressing feeling weak when they were recently of sound health (the suspicious person may try to make the elder feel as though they are frail and cannot take care of themselves without them). 
• The elder refuses to do certain things and says it’s because the suspicious person wouldn’t like them to do it. 
• The suspicious person has been spending almost all of their time with the elder unsupervised. 

It cannot be emphasized enough how important it is for loving family members to take action if they observe any of the following signs of undue influence. Sometimes it can be hard to tell if undue influence is happening, especially if the suspicious person is being discreet and strategic. When in doubt, reach out to an attorney, like an estate litigation attorney from Klenk Law, about if what you are seeing could be undue influence, and what you can do to take action.
The post Signs That Your Elder Loved One May Be Suffering from Undue Influence appeared first on Allmand Law Firm, PLLC.

It should come as no surprise that many Americans carry significant debt, including student loans, mortgages, credit cards, and auto payments. Many people may find themselves spread thin, struggling to make payments for their financial obligations. This can lead to many considering how they can dig themselves out from under mounting debts. While bankruptcy may be an option, debtors should look for alternatives to bankruptcy before filing. There can be alternative options, and it’s crucial to conduct the necessary research. Taking immediate action with the assistance of either a financial advisor or a lawyer is imperative because failing to pay debts can not only be stressful but come with consequences when deadlines for payment are not met. Sometimes, despite best efforts, it may be necessary to consider bankruptcy as an option. We know that this is an incredibly stressful time, and there can be a lot weighing on your decision, which is why contacting our lawyer at Allmand Law Firm, PLLC for guidance is essential. 
 
Understanding Alternative Options to Bankruptcy
No person truly wants to file for bankruptcy, and before reaching this decision, exploring alternatives to bankruptcy will be imperative. There may be other ways to manage debt and preserve credit scores without the mark that a bankruptcy filing can put on your credit. Some alternative options to explore before filing for bankruptcy include:
 
Consider a Non-Profit Debt Counselor
While many debt settlement companies offer the allure of settling debts, it’s essential to know that these services can come at some expense. Instead, start by researching the options for a non-profit debt counselor. These agencies offer their services free of charge to help develop a budget, save for retirement, and more. Trained professionals will work with debtors to discuss their financial situation at length and establish a clear plan for managing debts. In some cases, a counselor may recommend that you sign up for a debt management plan, resulting from having too much debt that debtors are unable to pay. A debt management plan may be an opportunistic way of managing debts and resolving them in a more timely and manageable way. 
 
Negotiate with Credit Card Companies
Credit card debt is a common reason people file for bankruptcy. High-interest rates and making minimum payments can feel as though a person will never be able to pay off their debts. In some cases, obligations may be so extensive that a person will never resolve the debts they are contending with. However, if you default on payments, negotiating with credit card companies may be an option. While there are debt consolidation companies that can assist with negotiations, it may be possible to tackle negotiations on your own. Credit card companies may be willing to reduce interest rates or settle debts. After 180 days, your debt may be written off as a loss, but credit card companies may be ready to settle for much lower than your financial obligations. 
 
In some cases, some alternatives can help debtors dig themselves out from mounting debt. However, if a person has exhausted all options and consulted with a financial advisor, in some situations, bankruptcy may be the most appropriate way to move forward. 
 
Choosing Bankruptcy
Sometimes, debtors may manage their debts without resorting to bankruptcy, which is why exploring the options should be one of your top priorities. However, despite best efforts, bankruptcy may be the most appropriate option. Taking the time to review your debts and your specific situation is essential. Our experienced bankruptcy lawyers are prepared to provide straightforward, well-informed guidance for next steps that should be taken. 
 
The post Options for Managing Debts appeared first on Allmand Law Firm, PLLC.

https://nypost.com/2020/09/21/almost-90-percent-of-nyc-bars-and-restaurants-couldnt-pay-august-rent/ Originally appeared on New York Post
Nearly 90 percent of New York City bar and restaurant owners couldn't pay their rent in August, heightening the continued crush the coronavirus shutdown has inflicted on Gotham’s economy.
Eighty-seven percent of bars, restaurants, nightclubs and event spaces in the five boroughs could not pay their full August rent, according to data from 457 businesses surveyed between Aug. 25 and Sept. 11, in a new study released Monday by the nonprofit NYC Hospitality Alliance.It’s a 7 percentage-point increase from June and a four-point jump from July, darkening the dire picture for eateries desperately seeking relief following six months of partial — and in some cases total — closure due to COVID-19 shutdowns.Some 34 percent of this group said they could not pay rent at all last month, and only 12.9 percent were able to meet full payments.“Restaurants, bars and nightlife venues have been financially devastated by the COVID-19 pandemic,” said alliance executive director Andrew Rigie.“Even before the pandemic when operating at 100 percent occupancy, these small businesses were struggling to stay open. Now we’re seeing widespread closures, approximately 150,000 industry workers are still out of their jobs, and the overwhelming majority of these remaining small businesses cannot afford to pay rent.“The hospitality industry is essential to New York’s economic and social fabric, and to ensure the survival of these vital small businesses and jobs, we urgently need rent relief, an indefinite extension of outdoor dining, a roadmap for expanded indoor dining, covered business interruption insurance and immediate passage of the Restaurants Act by Congress,” he added.When asked if landlords were waiving rent in relation to COVID-19 hardships, just 40 percent of businesses responded in the affirmative — 28.5 percent said less than 50 percent of their rental obligations were waived in August, 43 percent said 50 percent and 28.5 percent said they were given a break on more than 50 percent of their rental fees.Meanwhile, 90 percent reported they have been trying to negotiate their leases, but their landlords wouldn’t budge.The study also comes ahead of the long-awaited partial reopening of New York City’s indoor dining slated for Sept. 30 at 25 percent capacity.New York City will be the last region in the state — and also a month behind neighboring New Jersey — to get the green light for the practice, despite a majority of the Empire State’s 57 counties outside the five boroughs being approved for the practice since June.“I’m not really surprised because the industry is devastated by this pandemic,” said David Rosen, owner of several eateries including Williamsburg’s the Breakers. He is also co-founder of the Brooklyn Allied Bars and Restaurants and a member of the New York City Nightlife Advisory Board.“The analysis around why folks are not able to get firm relief from their landlord, or renegotiate around long-term lease agreements or changes, is interesting because the narrative for the past few months has generally trended in a positive direction,” said Rosen.“I can understand why landlords have been reticent to renegotiate because people have been under the impression that we would reopen or get back to normal,” he added, saying he, too, is in different stages of ongoing discussions with his landlords and doesn’t expect to fully reopen his venues until at least next spring.“What’s concerning about this report is I would assume given the past two months and with outdoor dining unfortunately will be peak revenue season during this pandemic for restaurants. As we head into the winter, even with indoor dining on the horizon, I don’t think that 25 percent indoor will exceed what exists already outside. This ‘inability to pay rent’ trend will continue, if not worsen,” he said.“We understand the difficulties facing restaurants, which is why we’re protecting commercial establishments from eviction, allowing bars to sell cocktails via take-out and delivery, and cutting red tape so restaurants can easily expand outdoor dining,” said Jack Sterne, a spokesman for Gov. Cuomo.
Guidelines will be reassessed by Nov. 1 and restaurants may be allowed to increase to 50 percent capacity depending on positive compliance and infection data, according to state officials.–– ADVERTISEMENT ––