As a result of the pandemic, many planned and existing contracts have been paralysed. The uncertain situation forces the parties to cease performing contracts or at least poses barriers to performance. In this situation, can they change the contract? Will they have to pay contractual penalties and damages? The situation now looks somewhat different than it did at the start of the pandemic.
Shield 4.0 clarified that the possibility of temporary termination of lease contracts applies to all spaces in commercial structures with a sales area over 2,000 m2. The earlier wording of this provision raised many doubts.
Even before a state of epidemic threat was announced, some businesses anticipating the probable impact of the approaching pandemic decided to take out business interruption insurance. But can this type of coverage make up for at least some of the losses due to the pandemic?
This time we address solutions from the front lines: devices for remote diagnostics which can improve effective detection of the coronavirus and also unburden the health service in other areas. These solutions can also serve as a proving ground for the regulatory approach to oversight of algorithms.
Businesses affected by COVID-19 are frantically seeking help. Direct forms of assistance, such as the financial shield and standstill pay, are extremely popular. Meanwhile, another instrument of the Anti-Crisis Shield has begun operating recently, i.e. loan repayment guarantees granted by Bank Gospodarstwa Krajowego to medium-sized and large enterprises from the Liquidity Guarantee Fund. The programme, worth over PLN 100 billion, is designed to encourage commercial banks to grant new loans for liquidity purposes.
One of the consequences of the pandemic and the resulting economic crisis may be the need for some taxpayers to discontinue projects. Do the Polish tax regulations allow for settlement of expenses incurred for discontinued projects under the CIT Act? Will the taxpayer have to make an adjustment of input VAT on expenses incurred in the course of work on such projects?