Miami Eatery Loses Battle for COVID-19 Business Interruption Coverage

MIAMI — A Florida federal judge has dismissed a Miami restaurant’s COVID-19 coverage action against Certain Underwriters at Lloyd's of London, ruling that it failed to allege “direct physical loss of or damage” to its insured property or nearby properties, as required by the policy.

On Aug. 31, Judge Darrin P. Gayles of the U.S. District Court for the Southern District of New York ruled that Cuisine LLC d/b/a Zest Restaurant and Market failed to allege “actual or tangible” loss of property.

In March 2020, Sun Cuisine was forced to suspend on-premises dining in compliance with government emergency orders issued …