Pa. Federal Judge Finds for Insurer in Sandwich Shop’s COVID-19 Coverage Action

  • Order

PHILADELPHIA — A Pennsylvania federal judge has awarded Donegal Insurance Group judgment on the pleadings in a sandwich shop’s COVID-19 coverage action, finding it failed to plead “direct physical loss of or damage to property,” as required by the policy.

In a June 11 order, Judge Joseph F. Leeson Jr. found Crunch Logistics Inc. t/a Monty’s Sandwich Shop did not allege that any aspect of the physical structure of the covered premises was altered; therefore, coverage under the policy’s provisions for Business Income and Extra Expense is not available.

The judge further ruled that government shutdown orders issued in …


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