Chicago Restaurants Hit Society Insurance with Bad Faith, Fraud Claims

CHICAGO — A group of Chicago restaurants and bars have filed a proposed class action against Society Insurance, demanding coverage for business interruption losses they sustained after civil closure orders issued in response to the COVID-19 pandemic curtailed their operations.

In a June 11 complaint filed in the U.S. District Court for the Northern District of Illinois, plaintiffs contend the orders triggered coverage under the policies’ business income, civil authority, and extra expense provisions.

Plaintiffs are 726 West Grand LLC, d/b/a Rebel and Rye, 4301 North Western Avenue, d/b/a Celtic Crown Public House, 6334 N Clark Corp., d/b/a Gracie O’Malley’s, …