Publication
SW Benefits Update: CARES Act Loans With an Executive Compensation Catch
By Amberlee Conley and Greg Gautam
As addressed in our previous legal alerts, the Coronavirus Aid, Recovery and Economic Security Act (the “CARES Act”) was enacted on March 27, 2020, presenting various opportunities for individuals and businesses grappling with the COVID-19 pandemic. Importantly, the CARES Act creates various loan and financial support programs for certain eligible businesses. Some of these programs, however, require recipient employers to restrict the amount of compensation paid to certain employees. Below we offer a set of questions and answers for further detail as to what we do (and do not) know about the CARES Act executive compensation restrictions.
About Snell & Wilmer
Founded in 1938, Snell & Wilmer is a full-service business law firm with more than 500 attorneys practicing in 16 locations throughout the United States and in Mexico, including Los Angeles, Orange County and San Diego, California; Phoenix and Tucson, Arizona; Denver, Colorado; Washington, D.C.; Boise, Idaho; Las Vegas and Reno, Nevada; Albuquerque, New Mexico; Portland, Oregon; Dallas, Texas; Salt Lake City, Utah; Seattle, Washington; and Los Cabos, Mexico. The firm represents clients ranging from large, publicly traded corporations to small businesses, individuals and entrepreneurs. For more information, visit swlaw.com.