What To Do About Hospitality Commercial Insurance Due To COVID-19
First and foremost, should you pursue an insurance claim? YES! The first step in this process is filing your initial claim.
First and foremost, should you pursue an insurance claim? YES! The first step in this process is filing your initial claim.
The Treasury Department's Financial Crimes Enforcement Network (FinCEN) is currently accepting public comments on a provision in the recently enacted Corporate Transparency Act (CTA) which requires some privately-held business entities to disclose ownership information directly to a law enforcement agency. Interested parties should consider commenting before the May 5th deadline, and companies who may be impacted should take this opportunity to review their anti-money laundering compliance programs. Vince Farhat and Samuel Buchman of JMBM's White Collar Defense and Investigations Group have written an article detailing this legislation below.
The UK is witnessing a tentative re-opening now that we are at the end of March. Monday 29th saw the end of the Stay At Home rule in England and the fresh ability to meet up in private gardens. Frustratingly, this lifting of restrictions does not include hospitality's super clean and COVID safe premises until April 12th 'at the earliest'. I am regularly amused and impressed by stories of pubs and restaurants creating spaces to allow customers to sit outdoors. Once again it shows the entrepreneurial spirit and determination to find ways to open up and generate some revenue. What was once a backyard used solely for storing bins and beer barrels has been cleaned up and tables installed. Outdoor eating and drinking opportunities have been created in car parks, fields, pavements, and children's playgrounds. And why not? I have no doubt that the demand will be enormous, come 12th April.
California has seen an explosion of ADA cases in the past few years, leading the state to impose strict pleading standards and high filing fees for serial litigants. Litigants have previously found their way around this by filing in federal court, but the courts have made it clear that they will decline supplemental jurisdiction in these instances. Martin Orlick, Chair of JMBM's ADA Compliance & Defense Group, explains below.
On behalf of owners, Airbnb rents out furnished apartments to short stay, non-resident transient visitors. These rents are subject to the regulation of the City of Paris and this regulation has long stated that the activity of short-term furnished rentals to transient visitors, in return for payment, may not be carried out in premises used for residential purposes, pursuant to the French Construction and Housing Code. This same regulation requires owners to request prior permission for a change of use, pursuant to Articles L.631-7 and L.631-7-1 of the French Construction and Housing Code.
For many years, businesses classed as public accommodations under the ADA have been the subject of "cookie-cutter" complaints that allege discriminatory conditions without providing any specific examples. Thousands of nearly identical complaints have been filed in federal courts nationwide, and their lack of detail makes it difficult for courts to provide a remedy that will prevent future harm. Martin Orlick, Chair of JMBM's ADA Compliance & Defense Group, summarizes the recent decision in Whitaker v. Tesla Motors which may put an end to these fill-in-the-blank cases.
As we've discussed in previous blogs, there has been an uptick in lawsuits filed against hotels alleging a failure to list accessible features on their website as required by the ADA. While many of these cases have been successfully defended in federal courts, new filings continue to surge and many plaintiffs are turning to state courts which have different requirements for dismissal. Martin Orlick, Chair of JMBM's ADA Compliance & Defense Group, explains why we should expect these cases to continue in 2021 and what hotels should be looking out for.
Does a pandemic qualify for business interruption insurance? It's a question hoteliers shouldn't be asking themselves, but rather, their insurance company.
On November 3rd, Californians voted to approve Proposition 24 which amends the California Consumer Privacy Act to include expanded consumer rights and greater privacy protections. Bob Braun, senior member of JMBM's Global Hospitality Group® and Co-Chair of the Firm's Cybersecurity & Privacy Group, explains the major provisions of the Act and discusses the challenges hotels face as they look to address its requirements.
The Hotel Law Guide helps serve hotel real estate owners, developers and operators as a reference for experienced and well-known lawyers and attorneys with a track record in Asia Pacific region. Each law firm highlights their representative attorneys with the type of services offered and notable projects.
As of the writing of this article we are in the early stages of evaluating the impact of the COVID-19 virus on the U.S. lodging industry. Owners and operators are discussing the potential use of business interruption insurance (BI) to cover expected losses in profits. Business interruption insurance covers the loss of income that a business suffers after a disaster. It is designed to put a business in the same financial position it would have been in if no loss had occurred. Owners and operators are encouraged to review their BI policies to determine if their businesses are covered from any losses attributable to the COVID-19 virus.
As the UK looks to emerge from the COVID-19 lockdown, business leaders have been calling upon the Government to set out its plan for how we might return to some sense of normality. Unsurprisingly, the hospitality industry has been amongst the most vocal, given numerous concerns over the practicalities of reopening venues under social distancing guidelines.
Returning to operations in our new environment is sure to bring many expected and unexpected challenges. Between figuring out social distancing protocols and mitigating risk throughout the property, hotels will be contending with a lot as we move through the coming months and years.
With governments, communities and businesses taking action to tackle the COVID-19 pandemic and support the welfare of their people, staff and customers, the hospitality industry is playing their part.
Force majeure provides an excuse for a party's non-performance of its contractual obligations as a result of an extraordinary event or circumstance beyond the control of the parties, such as act of God, war, strike, riot, etc.
One often doesn't know the extent of one's insurance coverage until a calamity occurs. So it is with force majeure provisions in contracts. Typically, force majeure provisions are included in contracts to excuse a party from contractual obligations if some unforeseen event beyond its control prevents performance of its contractual obligations.
Overtourism is now a term that is frequently used to describe the negative impacts of excessive tourism on a destination. The impacts of overtourism are numerous and even if the term is quite new, we can find traces of this concept already among scholars in the beginning of mass tourism. Plog, for example, related the evolution of the number of tourists in a destination to the type of tourists visiting that same destination.
Can a hotel ever truly achieve flawless performance? And, if so, how would one measure this accomplishment?
On May 25, 2018, the EU General Data Protection Regulation (GDPR) came into effect in an effort to protect consumer data for all citizens of the European Union and the European Economic Area.
The Tourism/Visitor industry is a one of the world's great industries. Large industries, however, mean that there are large cash flows and large amounts of cash often mean multiple lawsuits and other legal problems. Often local CVBs or tourism offices are unaware of their own nation's laws and obligations. This ignorance of the law can be very costly. Tourism Tidbits does NOT give legal advice, and it strongly encourages all readers to ask specific questions to a licensed tourism legal professional. Please note that the information found below is only meant to be useful in helping tourism/travel professionals to obtain the correct needed legal advice to stay out of court or to defend oneself once in court. -Take the time to ask you legal team to develop a series of questions about tourism law? What questions are you not asking? In what areas of the law are you ignorant or ought you to have more information? Then do a tourism law legal assessment with your legal staff, professional or department? With what laws are you failing to comply? What are the consequences of a compliance failure?-Review the statues concerning your aspect of the tourism industry on a regular basis with a qualified legal expert. Often tourism bureaus hire lawyers and legal experts who have never studied their part of tourism law. As tourism and terrorism become more intertwined it is essential to know your city's, state's or nation's legal requirements. For example, there is a section of the US PATRIOT act and published in the Federal Registry of Friday May 9th,2003 (Vol.68, Number 90m p.25092) which specifies casino's legal duties in anti terrorism. Casinos that chose to ignore this act may be faced with a very difficult situation. -Develop a tourism/travel legal information exchange. Tourism law is so complicated and changes so quickly that many legal experts are simply overwhelmed by it. Therefore there is no "one stop legal shopping". Instead develop with other local professionals a listing of who is an expert in various aspects of tourism law. Develop tourism law exchanges and remember that a legal mistake in any one part of the tourism industry can impact the entire industry. Do not forget to include the local police departments in these seminars and work with its members so that the local police department does not act (or fail to act) due to legal confusion. -Review your obligations and duties with your legal staff. How are these different within different types of law such as maritime law, international law, airline codes, local property law, contract law or statutory law? Then make sure that you understand legal subtleties. For example you should know if there are differences between a local person as a guest in your hotel or a visitor as a guest? Do you know your rights and obligations with a trespasser? How are you expected to treat a VIP and is there a clear definition of who is and who is not a VIP? -Know what help can you expect from a government regarding damages? In some nations, tourism is considered a critical asset and governments have special agencies to help with recovery. For example, in the US Homeland Security and FEMA may be able to provide funding which will aid you in avoiding a costly lawsuit. The smart tourism/travel professional takes the time to meet with government agencies to learn of all of their services and what legal help these agencies can provide.-Know what types of damages can you be accountable for and for which types of damages can you not be held accountable!. Tourism is different from other types of laws in that the victimizer and the victim may not be in the same community? What are your rights and obligations if you are sued from a different locale? How can you protect your community from someone who comes into it, victimizes it and then leaves? Are there different laws dealing with how locale interacts with physical damages or financial damages or emotional damages caused by a ruined vacation? -Do you know what are your assets? Many tourism assets are non-tangible assets? For example, is your locale's reputation an asset? How much damage someone coming to do harm might do to the reputation of the locale? What is the asset damage multiplier effect? If your business goes under how much are other tourism related businesses impacted by your error or having suffered an attack? -Make sure that you understand the differences between a criminal act and a terrorist act. These two negative events have very specific definitions in different nation's laws and the legal consequences are determined by how the courts may define the event. It is essential that you review with your legal team these differences and understand what your rights and responsibilities are should either of these two events occur. -Take the time to review what is happening in the world. Are you aware of the tourism risks that your particular industry is facing? All too often tourism/travel professionals are stuck in the old paradigm that stated that tourists were afraid of security and the less mentioned the better. Today's world is different. It is essential that your visitors understand that you locale worries about all aspects of security, from food safety to terrorism, from mismanaged property to crime on the streets. The best way to avoid or win a lawsuit is to take the time to do good risk management and know what are your obligations.Again, please consult a licensed legal professional before making any decision. The above is merely to present questions for you to consider with your legal professional.