Maryland Extends COVID-19 Closures to Nonessential Businesses

Businesses That Have Been Ordered to Close
The March 23 order restates and amends prior orders by mandating the closure of all nonessential businesses to the general public effective as of 5 p.m. on March 23, 2020. In addition, the order expands the list of closed recreational establishments (i.e., public and private golf clubs and social clubs) and directs the closure of additional miscellaneous establishments, including tattoo parlors, tanning salons, barber shops and beauty salons. Note while businesses must be closed to the general public, staff access is permitted for purposes specified in interpretive guidance No. COVID19-06 (i.e., maintaining essential property).

Previously, Gov. Hogan had issued executive orders that prohibited gatherings of more than 10 people and mandated the closure of senior citizen activities centers, restaurants and bars (except for carry-out, drive-through, or delivery services), fitness centers, theaters, enclosed malls, and certain recreational establishments.

Businesses That May Remain Open
Concurrent with the March 23 order, the governor’s office issued interpretive guidance No. COVID19-04, interpretive guidance No. COVID19-05, and interpretive guidance No. COVID19-06 further detailing the businesses that may remain open.

All businesses, organizations and facilities that operate in critical infrastructure sectors as identified by the U.S. Department of Homeland Security’s Cybersecurity and Infrastructure Security are not required to close. For more information on the federal critical infrastructure sectors, please see the U.S. Department of Homeland Security’s Cybersecurity and Infrastructure Security website.

Per interpretive guidance COVID19-04, such sectors include:

• the chemical sector (e.g., distributors of chemicals and pharmaceuticals);
• the commercial facilities sector (e.g., commercial and residential construction companies);
• the communications sector (e.g., broadcasting companies and stations);
• the critical manufacturing sector (e.g., manufacturing of: steel, iron and aluminum products; medical equipment; land, air, and water vehicles and related parts);
• the defense industrial base sector (e.g., private contractors that support defense and intelligence agencies);
• the emergency services sector (e.g., emergency management);
• the energy sector (e.g., companies that operate in connection with oil and gas);
• the financial services sector (e.g., banks and credit unions; non-bank lenders; and insurance companies);
• the food and agriculture sector (e.g., grocery stores and convenience stores);
• the government facilities sector (e.g., lawyers and law firms);
• the health care and public health sector (e.g., manufacturers and distributors of medical equipment and supplies);
• the information technology sector (e.g., companies that provide network routing, access, and configuration services);
• the transportation systems sector (e.g., airlines and operators of commercial aircraft (manned and unmanned);
• the water and wastewater systems sector (e.g., companies that operate in connection with drinking water and wastewater systems; well drillers); and
• supporting firms (e.g., companies that provide staffing or essential products and services to any entity operating in the critical infrastructure sectors).

Per interpretive guidance COVID19-05, the list of businesses, organizations and facilities operating in federal critical infrastructure sectors also includes, among other entities, businesses that are involved in the research and development pharmaceuticals and medical devices; private security firms; day cares (subject to the measures taken by the State Superintendent of Schools); title companies; and engineering and architectural firms.

Per interpretive guidance COVID19-06, greenhouses and nurseries, companies that provide waste management services, and residential cleaning services are not required to close. 

In addition, the March 23 order specifically allows the following to remain open:

• federal, state or local government buildings;
• newspaper, television, radio or other media services; or
• nonprofit organizations or facilities providing essential services to low-income persons, including, without limitation, homeless shelters, food banks and soup kitchens.

Whether a Business Is “Nonessential”
As indicated in the interpretive guidance, the list of businesses that may remain open is non-exhaustive. As such, if the nonessential status of a business is unclear, interpretive guidance COVID19-06 specifies that the status of the business should be based on the following:

• the order’s purpose, which is to “reduce the threat to human health caused by the transmission of the novel coronavirus in Maryland, and to protect and save lives”; and
• how similar businesses, organizations, and facilities are treated under the order.

Should a business remain open, it is required to adhere to applicable guidance from the CDC, MDH and OSHA regarding social-distancing and environmental cleaning and disinfection.

Although the interpretive guidance explicitly states that this is “not a shelter-in-place order,” it urges Marylanders to remain at home and urges employers to promote work-from-home work arrangements. Gov. Hogan has also reiterated that Marylanders should stay at home except for essential reasons. The order remains in effect until the state of emergency has been lifted unless it is rescinded, superseded, amended or revised.

Pillsbury’s experienced crisis management professionals are closely monitoring the global threat of COVID-19, drawing on the firm's capabilities in supply chain management, insurance law, cybersecurity, employment law, corporate law and other areas to provide critical guidance to clients in an urgent and quickly evolving situation. For more thought leadership on this rapidly developing topic, please visit our COVID-19 (Coronavirus) Resource Center.