Litigation & Arbitration,
Insurance
Nov. 14, 2022
COVID-19 business interruption cases
In the vast majority of the insurance policies at issue in these cases, "direct physical loss of or damage to property" is a prerequisite to coverage.
For two years, courts across the country dealt blow after blow to businesses seeking to recover for losses they sustained because of the COVID-19 pandemic. California followed suit in a trio of cases affirming demurrers without leave to amend in favor of the insurers: Inns-by-the-Sea v. California Mutual Ins. Co., 71 Cal.App.5th 688 (2021), Musso & Frank Grill Co., Inc. v. Mitsui Sumitomo Ins. USA Inc., 77 Cal.App.5th 753 (2022), and United Talent...
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