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Unnecessary Lawsuits: Protecting businesses from a new COVID-19 side-effect

Jordan Grady

Businesses across Pennsylvania are struggling with two parallel crises: the COVID-19 pandemic threatening the health of our country and the risk of financial loss from a national economic downturn. Juggling the safety of employees and customers with the need to stay afloat is challenging in the best of times — and where we find ourselves now is nowhere near the best of times.

As the executive director of the Butler County Chamber of Commerce, I have watched many businesses across the county, especially those deemed critical infrastructure, deal with COVID-19 challenges head on. These companies adapted business models quickly, accounted for risks, implemented safety and health precautions and navigated confusing guidelines and laws to keep doors open and to serve their community. And manufacturers particularly have remained steadfast in their commitment to continue providing food, medical supplies, lifesaving drugs and daily necessities and to support our county’s — and country’s — economic resilience.

However, because of the uncertainty surrounding the coronavirus, the risk of being targeted with a baseless lawsuit has grown exponentially higher. Manufacturers and other businesses have been doing right by employees, communities and customers, and they are working tirelessly to keep everyone safe. These companies should not be punished for their good faith efforts in a time of crisis.

An unfounded lawsuit could have serious implications for not just a business, but an entire community, the supply chain and our collective well-being. Many of the businesses that face these suits will either settle to avoid the significant expense of litigation or risk finding themselves in a dire financial situation. Inherent in the threat of lawsuits is the threat of bankruptcy, job loss and the disruption in production of critical goods and supplies, like PPE and even a COVID-19 vaccine.

Few would argue against a business being held accountable for reckless and harmful practices, which is why we need a clear, consistent legal framework to deal with bad actors. COVID-19 notwithstanding, we need to be sure that justice can be carried out. But many COVID-19 related liability suits aren’t seeking justice. They are the result of lawyers taking advantage of regulatory and operational gray areas and preying on businesses. And it is already becoming a real issue. Pennsylvania has seen the sixth-highest number of COVID-19-related liability complaints filed in the nation.

Our lawmakers need to step up to protect manufacturers from meritless lawsuits. The National Association of Manufacturers has built out a road map on liability reforms that policymakers can follow toward fairer legal protections. Manufacturers need certainty from our elected officials to avoid a costly and confusing legal patchwork that will not help anyone stay safe or keep businesses up and running.

This is not about special treatment or avoiding responsibility. COVID-19 is an unprecedented circumstance, and our businesses need targeted, specific protections to deal with it. We have strong, effective liability laws that are necessary to protect our employees and customers under normal circumstances. But the pandemic has created a special set of circumstances. It has forced us all to adapt and change the way we do things.

It is now up to our representatives to protect the manufacturers in our community. Manufacturers have risen to the challenge of COVID-19 and gone above and beyond to keep us all safe. It is time for us to protect them, too.

Jordan Grady is the executive director of the Butler County Chamber of Commerce.

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