CEO DATELINE - Associations seek protection from COVID-19 lawsuits for business members
CEO DATELINE - Associations seek protection from COVID-19 lawsuits for business members
- May 12, 2020 |
- Walt Williams
Dozens of state and national associations are asking lawmakers to shield businesses from lawsuits by customers and employees who contract COVID-19, saying that failure to do so will slow the country's economic recovery.
Consider joining CEO Update. Membership gives full access to the latest intelligence on association management, career advancement, compensation trends and networking events, as well as hundreds of listings for senior-level association jobs.
In a letter to congressional leaders obtained by Politico, the groups said their member companies have taken many steps to protect the well-being of customers and employees. However, the threat of litigation facing even companies that follow federal guidelines "will mire our recovery and negatively impact the economy writ large by injecting great uncertainty and risk into the ability of our businesses to operate during the pandemic."
"Evolving information about COVID-19 and differences in federal, state, and local guidelines, however, have created legal uncertainty," the associations said. "As a result, companies that diligently implement safety protocols and rely in good faith on public health recommendations and guidelines nonetheless face the prospect of substantial litigation based on virus transmission."
The groups noted that Congress has provided businesses safe harbors from liability in the past during public crises. "We ask that you do so again."
Signatories include the American Hotel & Lodging Association, Airlines for America, International Franchise Association, Home Care Association of America and the International Association of Amusement Parks and Attractions.
The American Association for Justice—which represents trial attorneys—has in recent weeks pushed back against the suggestion that businesses need added legal protections from COVID-19 lawsuits. The group released a poll on May 6 finding 64% of voters oppose giving blanket liability immunity to corporations and employers in cases involving COVID-19 infection.
"People won't want to go back to work or shop at a store unless they feel safe, and that means ensuring that corporations can be held accountable if they don't take proper precautions," AAJ CEO Linda Lipsen said in a statement.
MORE CEO DATELINE