As the Small Business Association (SBA) and U.S. Treasury scramble to get the Paycheck Protection Program (PPP) going from zero to full-implementation, the two agencies have issued additional guidance, in the form of Frequently Asked Questions (FAQs), which have been subsequently edited to be current as of April 8 (and might be updated again after the publication of this article). This guidance comes just three days after the Treasury Department promulgated the PPP Interim Final Rule (IFR).
Although the guidance was issued two days after most lenders started making loans and after some $50 billion of loans were in process, the FAQs are beneficial and address some significant ambiguities and challenges in interpreting the CARES Act. The FAQs are short and in plain English, both of which are much appreciated (especially by those of us who have struggled to understand a complex and often illogical statutory scheme). Furthermore, the FAQs adopt some straightforward interpretations that bring much order out of chaos and ease compliance.
Here are the key takeaways from the FAQs:
Before proceeding, please note: If you are not a current client of Lane Powell PC, please do not include any information in this email that you or someone else considers to be confidential or secret in nature. Prior to the establishment of a lawyer-client relationship, unsolicited emails from non-clients containing confidential or secret information cannot be protected from disclosure.