STORY FROM: COVID-19 Litigation Report

Calif. Restaurant Owner Files Class Action, Demanding Coverage for COVID-19 Losses

SAN FRANCISCO — The owner of a Palo Alto, Calif., restaurant has filed a class action against its insurer, seeking to recoup business interruption losses arising from government closure orders issued in response to the COVID-19 pandemic.

In a June 6 complaint filed in the Northern District of California, Protégé Restaurant Partners LLC says the losses are covered under the policies’ Business Income provision, but Sentinel Insurance Co., d/b/a The Hartford has denied coverage “on a uniform and classwide basis, in breach of the policies.”

In denying the claims, defendant maintains that the closure orders did not cause direct ...

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