To assist our financial services clients, our Financial Services Group has prepared an ongoing series of S&C Memos, Podcasts and Webinars that outline important issues. Topics include the CARES Act and the Federal Reserve’s suite of new lending facilities to support the flow of credit to businesses, as well as recent SEC announcements and developments in public disclosure and new rules and guidance from federal and state financial services regulators.

Guidance for Financial Services is available here.

Partner Contacts: Nicolas BourtinCatherine M. ClarkinJared M. FishmanJulia M. JordanMarc Treviño and Benjamin H. Weiner


COVID-19 “Phase IV” Stimulus

January 5, 2021 – On December 27, 2020, President Trump signed into law the 2021 Consolidated Appropriations Act (the “Act”), which provides approximately $900 billion in coronavirus relief. This memorandum summarizes key financial services-related provisions of the Act, including (1) the extensive revisions made to the Small Business Administration’s Paycheck Protection Program (the “PPP”), (2) the authorization of emergency community development programs, (3) the extension of certain temporary suspensions and modifications of regulatory provisions applicable to banking institutions, and (4) the termination of certain lending facilities and lending authority created by the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The Act represents the first comprehensive legislative response to the pandemic since the CARES Act in the spring, and the first major legislative update to the PPP since the Paycheck Protection Program Flexibility Act signed into law on June 5, 2020.

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The Paycheck Protection Program Flexibility Act of 2020

June 6, 2020 – On Friday, June 5, 2020, President Trump signed into law the Paycheck Protection Program Flexibility Act of 2020. The Act makes a number of significant changes to the Paycheck Protection Program established by the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”).

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COVID-19 Insurance Developments: Business Interruption, Workers’ Compensation, Auto

May 29, 2020 – The novel coronavirus (“COVID-19”) pandemic and the business closures, unemployment and economic disruptions caused by the pandemic continue to generate significant insurance-related legislative, regulatory and litigation activity in the United States. This Memorandum summarizes recent key COVID-19-related developments with respect to three property and casualty insurance coverages particularly affected by the crisis.

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Agencies Issue Guidance on Small-Dollar Loans

May 28, 2020 – On May 20, 2020, the Federal Reserve, FDIC, NCUA and OCC issued Interagency Lending Principles for Offering Responsible Small-Dollar Loans.  The Lending Principles are intended to encourage supervised banks, savings associations and credit unions to offer responsible small-dollar loans to customers for both consumer and small business purposes.

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S&C Critical Insights – New Treasury Rule Implements CFIUS Filing Fees

May 15, 2020 – In this episode of S&C’s Critical Insights podcast series, Eric Kadel and Chris Mann, co-managing partners of the Firm’s Foreign Investments and Trade Regulations practice, discuss the U.S. Department of the Treasury’s recent interim rule implementing filing fees for notices submitted to the Committee on Foreign Investment in the United States.

S&C Critical Insights – OFAC Guidance in Response to COVID-19

May 6, 2020 – In this episode of S&C’s Critical Insights podcast series, Eric Kadel, co-managing partner of S&C’s Economic Sanctions and Financial Crime practice, and Jamie Earl, special counsel in the practice, discuss OFAC’s recent guidance regarding compliance during the COVID-19 pandemic. First, they consider OFAC’s most recent guidance, issued April 20, 2020. Next, they cover OFAC’s April 16, 2020 guidance regarding provisions related to humanitarian assistance and trade under US economic sanctions programs.

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Proposed Pandemic Anti-Monopoly Act

May 1, 2020 – On April 28, 2020, Senator Elizabeth Warren (D-Mass.) and Representative Alexandria Ocasio-Cortez (D-NY-14) announced plans to introduce the Pandemic Anti-Monopoly Act (the “Proposed Act”). The Proposed Act would effectively halt mergers and acquisitions activity for certain types of companies and investment funds until the Federal Trade Commission (the “FTC”) “determined that small businesses, workers, and consumers are no longer under severe financial distress.”

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SEC Adopts Securities Offering and Disclosure Reforms for Business Development Companies and Registered Closed-End Funds

April 27, 2020 – SEC adopts amendments to the registration, offering and communications processes and other aspects of the disclosure and regulatory framework for business development companies and registered closed-end funds to provide parity with operating companies.

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Paycheck Protection Program: Stimulus Legislation To Replenish the Paycheck Protection Program by Providing an Additional $310 Billion

April 23, 2020 – Earlier today, the U.S. House of Representatives passed the “Paycheck Protection Program and Health Care Enhancement Act” (the “Act”). The Act amends the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) to increase by $310 billion the amount authorized for the Small Business Administration (the “SBA”) to commit for loans under the Paycheck Protection Program (the “PPP”). This increase brings the total authorized level to $659 billion. The initial $349 billion in funding authorized by the CARES Act was depleted within two weeks of the program's launch, and many small businesses were reportedly unable to obtain funds. The Act was adopted on Tuesday in the U.S. Senate by a voice vote and in the U.S. House of Representatives on Thursday by vote of 388 to 5.

Separately, the SBA, in consultation with the U.S. Department of the Treasury, issued an additional response to “Frequently Asked Questions” making it clear that public companies with substantial market value and access to capital markets, as well as other borrowers that have access to other liquidity sources sufficient to support their ongoing operations, likely would not qualify for PPP loans.

Read Our Memo

OFAC Guidance in Response to COVID-19: OFAC Issues Guidance on Sanctions Compliance and Provision of Humanitarian Assistance and Trade to Combat COVID-19

April 21, 2020 – The U.S. Department of the Treasury's Office of Foreign Assets Control (“OFAC”) issued two documents in recent days on separate issues relating to the COVID-19 pandemic. On April 20, 2020, OFAC encouraged persons affected by the COVID-19 pandemic to contact OFAC about concerns that they may experience delays in their ability to meet deadlines associated with OFAC-administered regulatory requirements.

Read Our Memo
Week of April 13, 2020

April 16, 2020 – BSA and AML Compliance Guidance and the Paycheck Protection Program (Memo)

April 15, 2020 – Update — UK's FCA Announces Temporary Measures Designed to Assist Issuers (Memo)

April 13, 2020 – Court Endorses Establishment of Eligibility Criteria for Paycheck Protection Program Loans (Memo)

April 13, 2020 – Federal Reserve COVID-19 Response (Memo)
Week of April 6, 2020

April 10, 2020 – EU State Aid (Memo)

April 9, 2020 – S&C Critical Insights – U.K. Corporate Financing Facility During COVID-19 (Podcast)

April 9, 2020 – S&C Critical Insights – Australian Legislative and Regulatory Developments During COVID-19 (Podcast)

April 9, 2020 – Insurance Legislative and Regulatory Activity in the US and EU in Response to COVID-19: Insurance Legislative and Regulatory Activity in Response to COVID-19—U.S. and EU Developments (Memo)

April 7, 2020 – U.K. COVID Corporate Financing Facility (Memo)

April 6, 2020 – COVID-19 Risk Factor and Other Disclosure Considerations for Banking Institutions (Memo)
Week of March 30, 2020

April 2, 2020 – Corporate Governance Considerations During the COVID-19 Pandemic (Memo) 

March 31, 2020 – Disclosure Requirements on COVID-19 Impact for Issuers in Europe (Memo) 

March 30, 2020 – SEC Issues COVID-19 Disclosure Guidance and Extends Conditional Relief from Reporting Requirements  (Memo) 

March 30, 2020 – Heightened Cybersecurity Risks Resulting from COVID-19’s Effects on Operations (Memo)

March 30, 2020 – S&C Critical Insights – The Federal Reserve Reacts to COVID-19 (Podcast)

March 30, 2020 – M&A During the COVID-19 Crisis —European Commission Encourages Protection of Critical Assets by EU Member States (Memo)

March 30, 2020 – CARES Act Provides Relief for Aviation Industry; Significant Conditions Apply (Memo)
Week of March 23, 2020

March 29, 2020 – Coronavirus Aid, Relief, and Economic Security Act (Memo)

March 29, 2020 – CARES Act Limits Share Repurchases (Memo)

March 25, 2020 – Guidance for California Financial Institutions Regarding COVID-19 Pandemic (Memo)

March 25, 2020 – NYDFS Superintendent Adopts Emergency Regulation To Implement Executive Order 202.9 (Memo)

March 25, 2020 – Federal Reserve Issues Statement on Adjustments to Its Supervisory Approach in Light of the COVID-19 National Emergency (Memo)

March 24, 2020 – SEC Provides Temporary Flexibility in Lending and Borrowing Arrangements to Registered Open-End Funds and Separate Accounts (Memo)

March 24, 2020 – FHFA Authorizes Fannie Mae and Freddie Mac To Support Additional Liquidity in the Secondary Mortgage Market (Memo)

March 24, 2020 – Federal Reserve COVID-19 Response (Memo)

March 23, 2020 – Remote Notarizations in New York (Memo)
Week of March 16, 2020

March 22, 2020 – Interagency Statement on Loan Modifications and Reporting (Memo)

March 20, 2020 – S&C Critical Insights – NYDFS and FinCEN Guidance in Response to COVID-19 (Podcast)

March 20, 2020 – EU State Aid 

March 19, 2020 – NYDFS Guidance in Response to COVID-19 (Memo)

March 19, 2020 – FinCEN Guidance in Response to COVID-19 (Memo)

March 19, 2020 – Coronavirus: Selected Government Guidance (Memo)

March 18, 2020 – French Financial Markets Authority Announces Ban on Short Selling on All French Trading Venues (Memo)

March 17, 2020 – CFTC Provides Relief to Market Participants in Response to COVID-19 (Memo)