Ala. Banquet Hall Sues Cincinnati Insurance Co. for COVID-19 Business Losses

MOBILE, Ala. — An Alabama banquet and special events facility has filed a proposed class action against The Cincinnati Insurance Co., contending that COVID-19 government closure orders caused it to sustain direct physical loss or damage to its premises, triggering coverage under its policy.

In a June 9 complaint filed in the U.S. District Court for the Southern District of Alabama, Golden Flames Banquet & Ballroom, Inc. seeks a declaratory judgment on behalf of itself and a class of policyholders that Cincinnati is obligated to cover the losses.

Golden Flames owns and operates a banquet and special-events (such as wedding …