STORY FROM: COVID-19 Litigation Report

N.J. Ice Cream Restaurant Says COVID-19 Business Interruption Losses Insured

CAMDEN, N.J. — A New Jersey ice cream shop has sued Merchants Mutual Insurance Co., demanding coverage for business interruption losses it sustained when government closure orders issued in response to the COVID-19 pandemic rendered it “unable to use its property for its intended purpose.”

In a complaint removed to the U.S. District Court for the District of New Jersey on July 1, Benamax Ice LLC accuses the insurer of breaching its policy by denying its claim for coverage.

Benamax argues that coverage for its insured losses is available under the policy’s provisions for Civil Authority, Business Income and Extra ...

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