A commentary on insurance coverage issues in Hawaii and beyond
The court dismissed the insured business interruption and civil authority claims due to the policy's virus exclusion. Franklin EWC, Inc. v. Hartford Fin. Servs. Group, 2020 U.S. 174010 (N.D. Calif. Sept. 22, 2020).
Franklin operated the European Wax Center. It was forced to close on March 19, 2020, due to State…
Following its earlier decision, the federal district court rejected the insurer's motion to dismiss claims for business interruption due to closure orders caused by COVID-19. Blue Spring Dental Care, LLC v. Owners Ins. Co., 2020 U.S. Dist. LEXIS 172639 (W.D. Mo. Sept. 21, 2020).
Plaintiffs were four dental clinics impacted…
A Florida federal district court denied the insurer's motion to dismiss the insured's COVID-19 business interruption claim despite the policy's virus exclusion. Urogynecology Specialist of Fla. LLC v. Sentinel Ins. Co., 2020 U.S. Dist. LEXIS 184744 (M.D. Fla. Sept. 24, 2020).
Due to emergency orders caused by the COVID-19 pandemic…
A Florida dentist could not survive the carrier's motion to dismiss a business interruption claim due to closures for COVID-19. Martinez v. Allied Ins. Co. of Am., 2020 U.S. Dist. LEXIS 165140 (M.D. Fla. Sept. 2, 2020). The court's Order is here.
The dentist alleged that the government mandated…
A California federal district court dismissed the insured restaurant's civil authority claim after being ordered to close due to COVID-19. 10E, LLC v. Travelers Indemnity Co. of Connecticut, et al., 2020 U.S. Dist. LEXIS 156827 (C.D. Calif. Aug. 28, 2020). The decision is here.
Public health restrictions prohibited in-person dining at…
On July 30, 2020, the Judicial Panel on Multi-District Litigation (JPML) heard oral argument on the potential consolidation of all federal cases involving business interruption coverage relating to coronavirus and shut-down orders. A decision will be rendered in the near future.
Meanwhile, many cases are on hold, waiting for a determination…
Early decisions are starting to appear where insurers have denied coverage for business interruption after shut downs due to the coronavirus. Most of these early decisions address procedural issues, but a trial court in Michigan recently granted the insurer's motion to dismiss a claim for business interruption due to mandated closures.
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The Governor's Executive Order compelling the closure of non-essential businesses to reduce the spread of coronavirus survived a challenge before the Pennsylvania Supreme Court. Friends of Devito v. Wolf, 2020 Pa. LEXIS 1987 (Pa. April 13, 2020). The case does not involve coverage issues, but the court's acknowledgment and description of…
Last week, the first lawsuit was filed seeking insurance coverage for business-interruption due to losses caused by COVID-19. The case, Cajun Conti, LLC, et al. v. Certain Underwriters at Lloyd's of London, ,et al., was filed in Louisiana. A New Orleans restaurant, Oceana Grill," seeks a declaratory judgment that its "all risks" policy…
The New York Department of Financial Services (DFS) took the unusual step last week of instructing all property/casualty insurers to provide information on commercial property insurance and details on business interruption coverage in light of the COVID-19 outbreak. The notice is here.
The notice recognizes that policyholders have urgent questions…
