Author: Frederick W. Alworth

Is Everything Negotiable? Anticipating Legal Issues for the “Reopening”

In the early 1980s, a book entitled You Can Negotiate Anything spent nine months on the New York Times bestseller list. The book may have a resurgence in the coming months, as one thing is for certain right now: After the state’s reopening, every contract, lease, and agreement is likely to be subject to negotiation. While much attention has been focused on force majeure provisions in contracts and potential bankruptcy filings, the practical effect of survival of the fittest will dictate necessary legal needs. Certainly there will be a time lag for the courts to be clogged with new cases. The retail, leisure travel, and entertainment sectors, while arguably most impacted by the recent closures and restrictions, will surely not be the only areas where businesses and individuals by necessity will renegotiate virtually every existing agreement. As New Jersey deals with the enormity of the COVID-19 pandemic, legal issues are emerging that were previously never contemplated. In an instant, the world has changed, and all negotiated contracts are potentially at risk. The question becomes: How do businesses protect their futures? To start, anticipate legal issues. Documents and Agreements Likely to Be Subject to Renegotiation It is prudent to develop a reopening legal plan consisting of the following steps: Review your existing agreements. Are they still...

Successful Crisis Management During a Pandemic

We are living in a moment that can only be described as a crisis on multiple fronts. While the coronavirus (COVID-19) pandemic is a situation like none other, our experience advising clients through past crisis situations provides guidance on how to handle critical decisions in an uncertain and unsettling environment in a time of chaos and panic. Past experience has taught us that a crisis situation can either become a distant bad memory or turn into a disaster. Failure to handle crisis management and key decisions effectively now and in the near future can lead to devastating consequences. There are common themes and basic strategies to any crisis which bear repeating. Keep in mind that decisions are made in real time. They are also made with imperfect information, and initial decisions are magnified one hundred fold. Don’t compound the problem. The first rule of crisis management is, “do not do anything to make it worse.” In responding to the coronavirus, that means, first and foremost, to stay healthy. You and your leadership, team, and employees cannot help anyone and get back to normal if they are sick, so do not take risks with anyone’s health. Remember that credibility is key. Be honest and direct, and don’t speculate in order to tell someone what you think...

What is the Status Quo? How Waste Management Changed the Game in Obtaining Injunctive Relief

On December 16, 2013, in a published decision, the New Jersey Appellate Division in Waste Management of New Jersey, Inc. v. Morris County Municipal Utilities Authority clarified the standard governing interlocutory injunctions in New Jersey state courts. The court held that a trial judge’s denial of an interlocutory injunction based solely on the determination that the plaintiffs were not likely to succeed on the merits constituted reversible error because “the judge mistakenly overlooked his authority to impose interlocutory relief to preserve the parties’ positions and subject matter of the suit[.]” Stated otherwise, Waste Management holds that one can obtain an injunction preserving the status quo even where he or she cannot show a likelihood of success on the merits.