SBA Publishes New Guidance on PPP Loan Forgiveness and Appeal Rights
By Ivan Golden, Hahn Loeser
The U.S. Small Business Administration (“SBA”) last week began accepting Paycheck Protection Program (“PPP”) loan forgiveness applications and published new guidance on the loan forgiveness process and a new appeals process. But many borrowers are in no hurry to submit their loan forgiveness applications amid continuing confusion about the forgiveness process.
The PPP has been plagued by conflicting guidance from Congress and the SBA, however, and the program quietly ended on August 8, 2020, with more than $134 billion of loan funds remaining unused. Indeed, almost every detail of the program has changed since the PPP was enacted on March 27, 2020, leaving many borrowers confused about how, when, and even whether they can use the money.