Mattress Chain’s COVID-19 Coverage Action Dismissed Without Prejudice
November 30, 2020
CHICAGO — An Illinois federal judge has dismissed a mattress retail chain’s COVID-19 coverage action against Motorists Commercial Mutual Insurance Co., finding the alleged losses fall within the policy’s virus exclusion.
In a Nov. 25 order, Judge Manish S. Shah of the U.S. District Court for the Northern District of Illinois rejected AFM Mattress Co. LLC’s argument that its losses arose from government shutdown orders issued in response to the pandemic, rather than the COVID-19 virus itself.
“Plaintiff’s complaint undermines its argument — the complaint alleges that plaintiff’s losses were due to both the virus and the shutdown orders that …
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