Articles

“Quebec on hold for several weeks1”: five considerations for long-term crisis management

Many businesses in Quebec are currently feeling a series of shocks as a result of the emergency measures implemented by governments to counter the spread of the coronavirus (COVID-19). Some are closed by government order or have had to lay off staff, while others are unable to meet their contractual commitments.

In this context, how can businesses navigate the COVID-19 crisis while formulating long-term strategies to ensure a prosperous post-crisis period and equip themselves with better tools to face the next crisis?

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COVID-19: Order in Council 223-2020 on essential services and the legal risks of noncompliance

On March 24 2020, the Government of Quebec adopted Order in Council number 223-2020, as one of several measures to limit the spread of COVID-19. The order in counsel requires the suspension of all workplace activities that cannot be directly or indirectly associated with the provision of essential services, for an indefinite period effective March 25 at 00:01 A.M.

Companies, businesses or self-employed persons who contravene these measures can be subject to administrative and criminal penalties as well as other potential consequences, including civil liability.

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Limiting the economic impact of COVID-19 on your business: planning for recovery

In response to the economic shock caused by the numerous public health measures to control the spread of COVID-19, the provincial government announced, on March 19, 2020, the creation of a $2.5 billion program to assist Quebec businesses.

In a matter of days, thousands of Quebec workers were confined to their homes, creating unprecedented logistical challenges for the province’s business leaders. While each industry will have its own unique challenges, all businesses will eventually confront a common problem. As soon as social distancing measures are lifted, each company will require a business continuity plan to enable it to relaunch its activities.

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Breach of contract due to the COVID-19 pandemic: a case of force majeure?

The outbreak of the COVID-19 pandemic has significantly compromised the ability of many businesses and individuals to fulfill their existing contractual obligations. In some cases, those failing to carry out their obligations due to the pandemic – or the measures taken by authorities to contain it – could avoid civil liability on the grounds of a superior force or force majeure.

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