N.J. Casino Loses Bid for COVID-19 Coverage on Appeal

ATLANTIC CITY — A New Jersey appellate court has reversed a ruling in favor of an Atlantic City casino in a COVID-19 insurance action, ruling that there was no “direct physical loss of or damage to” property, and the losses fall within the policies’ contamination exclusion.

In a June 23 opinion, the New Jersey Superior Court, Appellate Division, found the policies unambiguously do not insure losses arising from COVID-19 contamination or related government closure orders.

AC Ocean Walk LLC is a 138,000 square foot casino and gaming entertainment enterprise, the largest gaming suite in the United States. Ocean provides overnight …