Manhattan Restaurant Files COVID-19 Coverage Class Action Against Liberty Mutual

NEW YORK — A Manhattan restaurant and catering service has filed a proposed class action against Liberty Mutual Insurance in federal court, demanding coverage for losses it has sustained due to civil closure orders issued in response to the COVID-19 pandemic.

In a May 12 complaint filed in the U.S. District Court for the Southern District of New York, Starjem Restaurant Corp. d/b/a Fresco says the insurer wrongly denied coverage for losses that are insured under the policies’ business income, civil authority, and extra expense provisions.

Plaintiff was forced it to close its Fresco by Scotto restaurant in March after …