León Cosgrove

Archive for April, 2020

COVID-19 Litigation to Pit Protective Orders Against the Public’s Right of Access

By: Derek E. León

While in recent years, sealed filings in the federal court system have undermined the legal tenet of the public’s right to access judicial documents and proceedings, litigation stemming from the COVID-19 pandemic stands to put a spotlight on this practice, as people demand to know who knew what and when. León Cosgrove’s Alec Schultz, in his commentary for the “Daily Business Review,” examines how practitioners and courts will need to more carefully review protective orders and sealing requests to prevent restricting the fundamental right of public access.

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COVID-19 and Force Majeure – Implications under Florida Law

By: Derek E. León

Last week, the Governor of Florida, Ron DeSantis issued a state-wide confinement order commonly known as a “stay at home” order. Basically, the order allows Florida residents to leave their homes and interact with other people only for the purpose of engaging in essential activities or services. Consequently, businesses that are not considered essential have been forced to close or to limit their activities considerably. Nevertheless, these “non-essential” businesses are still bound by their respective contractual obligations, including, for example, their obligation to pay rent or to comply with their commercial responsibilities with their business partners. In light of this measure taken by Florida—which has also been adopted by many other states—businesses are uncertain about the impact that this measure may have on their contractual obligations under Florida law. Specifically, many business owners may wonder if the current circumstances constitute an event of force majeure or gives rise to other legal grounds to excuse performance of their contractual obligations.

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Client Alert: How Financial Advisers Can Avoid or Deal With Litigation in the Wake of COVID-19

By: Derek E. León

People do not like to lose money. Behavioral economists claim that humans are wired for loss aversion. In fact, some psychological studies suggest that the pain of losing is psychologically about twice as powerful as the joy we experience when winning. Therefore, investors forget that even well-diversified portfolios tend to lose value when markets decline, and often want to point fingers at someone. This phenomenon becomes evident when one examines FINRA’s Dispute Resolution’s case filing statistics in conjunction with overall market performance. Twenty years of data clearly reveals increases in customer case filings in years following poor market performance.

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Coping With A Pandemic (Law360)

By: Derek E. León

In the attached article featured in Law360, Andrew Zaron discusses how bankruptcy law and restructuring proceedings have had to adapt to the emergency response to COVID-19, much like we’ve all had to adapt to being work from home parents and teachers.

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