Mass. Federal Judge Dismisses Restaurant Owner’s COVID-19 Coverage Action
April 9, 2021
BOSTON — A Massachusetts federal judge has dismissed a COVID-19 business interruption coverage action filed against Strathmore Insurance Co. by the owner of a Parisian bistro, ruling that it failed to allege “direct physical loss of or damage to” its insured property as required by the policy.
In an April 7 order, Judge Nathaniel M. Gorton of the U.S. District Court for the District of Massachusetts explained that the COVID-19 virus “does not impact the structural integrity of property in a manner contemplated by the Policy and thus cannot constitute ‘direct physical loss of or damage to’ property.”
- Shapiro Haber & Urmy LLP