Restaurant Owners Sue Insurers in N.J. Federal Court for COVID-19 Business Interruption Losses

TRENTON, N.J. – The owners of three restaurants have sued their insurers in New Jersey federal court, demanding coverage for losses they have sustained due to civil closure orders issued in response to the COVID-19 pandemic.

In a May 15 complaint filed in the U.S. District Court for the District of New Jersey, Colby Restaurant Group Inc., BBR Lauderdale, LLC d/b/a TA Walk On’s Bistreaux, and SRG Southcenter, LLC d/b/a Twin Peaks say the orders triggered coverage under the policies’ business income, civil authority, and extra expense provisions.

Defendants are Utica National Insurance Group, Republic-Franklin Insurance Co., AmGUARD Insurance Co., …