7th Cir. Upholds Dismissal of Hotel Owner’s COVID-19 Coverage Action



DOCUMENTS
  • Opinion


CHICAGO — A federal appellate panel has upheld dismissal of a hotel owner’s COVID-19 coverage action against Aspen Specialty Insurance Co., finding the policyholder failed to allege “direct physical loss” to covered property, as required by the contract.

In a Dec. 9 opinion, the 7th Circuit U.S. Court of Appeals panel further affirmed that the policy’s exclusions for loss of use and government ordinances also apply to the alleged losses and bar coverage.

Bradley Hotel Corp. operates the Quality Inn & Suites in Bradley, Ill., which includes 84 guest rooms, a lounge/bar, restaurant, and a 12,000 square foot meeting room …






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