Pa.’s Biggest Law Firm PPP Borrowers Have Been Fully Forgiven

Most Pennsylvania midsize law firms that have received Paycheck Protection Program (PPP) loans were exempt from repayment, according to Federal Small Business Administration (SBA) data compiled by ProPublica in July.

At least 13 of the 17 most populous law firms in the Commonwealth have been granted first-round PPP loans as of April 2020. That’s the equivalent of $ 67.3 million in federal funds allocated to the 13 companies to support 3,414 jobs during the COVID-19 pandemic. what does not have to be repaid.

Now-out recipients of the highest credit include Dickie, McCamey & Chilcote, White and Williams, Stevens & Lee, McNees Wallace & Nurick, and Post & Schell. Accordingly, they have been approved loan amounts of $ 7.3 million, $ 7.2 million, $ 6.4 million, $ 5.8 million, and $ 5.49 million. Each was forgiven a slightly larger amount of dollars to account for accrued interest, SBA records show.

The award status of the other law firms – Cipriani & Werner, Schnader Harrison Segal & Lewis, Obermayer Rebmann Maxwell & Hippel, and Rawle & Henderson – is listed as “not disclosed” in the SBA filings. The companies did not respond to a request for comment.

Some firms whose lending status is listed as “undisclosed” have not received a response from federal regulators. The Daily Business Review reported in July that a spokesman for GrayRobinson, whose lending status is also undisclosed, said the company had received no response from the SBA as to whether the loan would be waived.

The 214 Philadelphia-based law firm White and Williams reported that their $ 7.24 million PPP loan saved 404 jobs, according to SBA records. Records show the company spent the vast majority of $ 5.82 million on payroll, while $ 1.34 million was spent on rental costs, $ 51,508 on utilities, and $ 11,516 on debt interest.

A White and Williams spokesperson confirmed the use of the funds but declined to comment.

Dickie McCamey has reportedly all allocated $ 7.2 million to help keep 431 jobs. Jeffrey Wiley, the company’s managing director and chief operating officer, said the funding will allow the company to help employees’ families prepare for the challenges of the pandemic.

“The legal industry has not been immune to the significant effects of the closure of non-essential stores,” Wiley said in a statement. “Despite court closings and a downturn in business, we have avoided layoffs and other measures, thereby keeping our employment levels ahead of COVID. We are pleased that the Small Business Administration has confirmed that the funds were used as intended. “

Introduced in March 2020 under the $ 2.2 trillion CARES Act, PPP loans enabled employers to retain workers during the economic hardship resulting from the COVID-19 pandemic. Recipients who have allocated funds to maintain their employees’ employment and overheads are now granted a grace period from repaying the loan.

Nearly 600 loans were approved for Pennsylvania law firms last year, adding up to $ 354 million in Commonwealth Legal Industry loan funds, according to SBA data verified by The Legal Intelligencer.

Nationally, at least $ 210 million in PPP loans have been made with Am Law 200 firms. An analysis by The American Lawyer of the 44 Second Hundred Firms that took out loans found no differences in performance between firms that borrowed and those that did not.

Other Pennsylvania based law firms that have raised and been granted large loans include:

  • Babst Calland Clements & Zomnir
    • Loan Amount: $ 5.43 million
    • Supported jobs: 223
  • Burns white
    • Loan Amount: $ 4.83 million
    • Supported jobs: 305
  • Stradley Ronon Stevens & Young
    • Loan Amount: $ 4.82 million
    • Supported jobs: 268
  • Weber Gallagher Simpson Stapleton Fires & Newby
    • Loan amount $ 4.81 million
    • Supported jobs: 237
  • The Chartwell Law Firms
    • Loan Amount: $ 4.53 million
    • Supported jobs: 300
  • Barley Snyder
    • Loan Amount: $ 3.74 million
    • Jobs supported: 197
  • Margolis gemstone
    • Loan Amount: $ 3.53 million
    • Supported jobs: 126
  • Klehr Harrison Harvey Branzburg
    • Loan Amount: $ 3.13 million
    • Supported jobs: 150

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