STORY FROM: COVID-19 Litigation Report

Ala. Restaurant Sues Insurer for COVID-19 Business Interruption Coverage

BIRMINGHAM, Ala. — An Alabama bistro has sued Farmers Insurance, accusing it of wrongly denying its claim for lost business income arising from its forced cessation of dine-in service due to the COVID-19 virus.

In an April 7 complaint filed in the Jefferson County (Ala.) Circuit Court, Sharecropper LLC d/b/a Ollie Irene seeks a declaratory judgment that Farmers is required to pay lost business income caused by Alabama officials’ exercise of the government’s police power.

On March 13, President Trump declared a national emergency concerning the COVID-19 pandemic. That same day, Alabama Governor Kay Ivey declared a state public ...

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