Upscale Restaurant Owner Loses Battle for COVID-19 Coverage in Ariz.

  • Order

PHOENIX — An Arizona federal judge has dismissed a fine dining restaurant corporation’s COVID-19 coverage action, ruling that “loss of use” of property does not constitute “direct physical loss of or damage,” as required by the policies.

In an Feb. 15 order, Judge Diane Humetewa of the U.S. District Court for the District of Arizona ruled that plaintiff Team 44 Restaurants LLC did not sustain “actual, tangible damage” when it was forced to cease in-person dining operations in compliance with government orders issued in response to the pandemic.

Team 44 operates upscale steak and seafood restaurants in Arizona, Illinois and …


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