STORY FROM: COVID-19 Litigation Report

IHOP Owner Sues Insurer to Recoup COVID-19 Business Interruption Losses

CAMDEN, N.J. — The owner of several New Jersey IHOP restaurants have sued The Hartford Financial Services Group and Twin City Fire Insurance Co. for business interruption losses arising from their forced closure during the COVID-19 pandemic.

In a complaint removed to the U.S. District Court for the District of New Jersey on Aug. 7, Harvest Hospitalities Inc. contends that government closure orders caused “direct loss of or physical damage” to the insured properties. New Jersey law defines “direct physical loss” to include “loss of use of the assets of the business,” plaintiffs maintain.

“The business premises are either partially ...

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