Davis Polk has prepared two memos describing key portions of the bill just signed into law: the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).  In this memo, we cover the economic stabilization and small businesses sections of the legislation, including Treasury’s financial assistance to states, municipalities and businesses of all sizes affected by the coronavirus pandemic, the Paycheck Protection Program, the new Special Inspector General for Pandemic Recovery and consumer credit, mortgage and evictions protections. In a 

companion memo

, we cover tax relief for individuals and businesses.

We do not cover the unemployment, medical or educational sections of the bill, other than a bit on student loans, even though they are tremendously important. If other firms write pieces that we find especially illuminating, we will link to them on our website and share them on LinkedIn.

The Senate passed the bill late on Wednesday night, and the House passed it on Friday afternoon. The President signed it shortly afterwards. The Department of the Treasury, the Federal Reserve and other federal agencies now face the mammoth task of carrying out their new responsibilities.

Read the Full Memo >

If you have any questions regarding the matters covered in this publication, please reach out to any of the lawyers listed below or your usual Davis Polk contact.

This communication, which we believe may be of interest to our clients and friends of the firm, is for general information only. It is not a full analysis of the matters presented and should not be relied upon as legal advice. This may be considered attorney advertising in some jurisdictions. Please refer to the firm's privacy notice for further details.
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