Calif. Wedding Venue Not Covered for COVID-19 Business Losses, Judge Rules

  • Order

SAN FRANCISCO — A California federal magistrate judge has dismissed a wedding venue’s COVID-19 business interruption coverage action, ruling that government closure orders issued in response to the pandemic do not cause “direct physical losses” to insured property.

On Jan. 4, Magistrate Judge Laurel Beeler of the U.S. District Court for the Northern District of California further held that Palmdale Estates Inc.’s losses fall under the ambit of the Blackboard Insurance Co. policy’s Virus Exclusion.

Palmdale Estates has a venue in Sunol, Calif., where it hosts weddings and other events. In mid-March, Alameda County authorities, in response to the …


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