Calif. Federal Judge Refuses to Dismiss Boston Hotel’s COVID-19 Coverage Action

LOS ANGELES — A California federal judge has refused to dismiss a case in which a hotel owner seeks business interruption losses arising from a COVID-19 “superspreader” event at one of its facilities, rejecting Endurance American Specialty Insurance Co.’s argument that the losses were caused by a government shutdown order, rather than the virus itself.

On June 15, Judge Cormac J. Carney of the U.S. District Court for the Central District of California found the order would not have been issued had it not been for the virus, and that the policy’s “Interruption Period” lasted a full year.

Sunstone Hotel …