Automatic Seafood Owner Files COVID-19 Class Action Against Insurer in Federal Court

BIRMINGHAM, Ala. — The owners of the Automatic Seafood & Oysters restaurant has filed a class action against The Cincinnati Insurance Co. in federal court, contending that losses caused by COVID-19 and related civil authority orders are insured.

In a May 8 complaint filed in the U.S. District Court for the Northern District of Alabama, Homestate Seafood LLC d/b/a Automatic Seafood & Oysters says its policy does not specifically exclude losses arising from “any virus, bacterium or other microorganism.”

Contrary to the plain language of the policy, Cincinnati denied the restaurant’s claim on April 29, the lawsuit says. The insurer …