COVID-19’s widespread effect on the business community has dominated news cycles for over a year now. Some impacts have been obvious. Business owners faced a combination of lower revenues, shifting to work-at-home strategies, and complying with restrictive government policies. However, one issue may have been overlooked – the potential increase in COVID-19 related business litigation. The new Florida COVID-19 liability law may provide some relief to already stressed entrepreneurs.
The Potential for Liability
How could your local mom-and-pop store be sued because of COVID-19? Without protections in place, companies could face COVID-19 liability in the following areas:
- Workplace Safety. Employees who get sick at work could claim their employers did not follow COVID-19 safety protocols.
- Premises Liability. Visitors to a store or business office could sue if they feel they contracted the disease because of the business owner’s negligence.
- Breach of Contract. Businesses could be sued for failure to meet contract obligations, even though COVID-19 restrictions caused the breach.
Other causes of action could arise. However, Governor DeSantis and Florida lawmakers have acted to protect businesses from a few specific types of lawsuits arising from COVID-19.
Limiting COVID-19 Liability
Governor Ron DeSantis signed bill SB 72 into law on March 29, 2021. People backing the legislation feel it will help businesses by reducing the risk of getting sued. This new law protects business like yours from COVID-19 liability in the following ways:
- Courts may reject lawsuits if a judge rules that the business defendants made a “good faith effort” to follow government regulations in place at the time of the problem that gave rise to the lawsuit.
- Plaintiffs whose lawsuits are allowed to proceed face a stiffer standard of proof. Instead of a preponderance of the evidence, plaintiffs must now prove their claims with “clear and convincing evidence.”
- Finally, plaintiffs must bring lawsuits within one year of a COVID-related incident.
This new law extends protections to all businesses at risk for COVID-19 liability issues. Healthcare providers and government agencies could benefit the most. However, the law does not affect lawsuits filed before the law’s effective date.
Has Your Company Been Sued Based on COVID-19 Liability?
If so, it’s in your best interests to speak with an experienced business litigation attorney as soon as possible.
Attorney Richard Sierra at the Florida Small Business Center assists clients like you with business and litigation matters. As always, Our Goal Is to Help You Succeed™. For an appointment, you may call us at 1-866-842-5202 or use the contact form on our website. We represent clients throughout the State of Florida, including Coral Springs, Coconut Creek, Boca Raton, Delray Beach, Pompano Beach, Sunrise, Fort Lauderdale, Miami, West Palm Beach, Jupiter, Deerfield Beach, Stuart, Port St. Lucie, Orlando, Naples, Fort Myers, Sarasota, Tampa, and surrounding communities.