Pa. Federal Judge Remands COVID-19 Coverage Case, Says Case Raises ‘Novel’ State Law Issues

PITTSBURGH — A federal judge has remanded a restaurant’s COVID-19 business interruption coverage action, ruling that the case turns on “novel business insurance coverage issues under Pennsylvania law” and are best resolved by the state court where it was originally filed.

In an Aug. 26 order, Senior Judge David S. Cercone of the U.S. District Court for the Western District of Pennsylvania explained that because such issues have not been addressed by Pennsylvania Supreme Court, any ruling from the federal court as to the parties’ rights under the policy would be predicting how Pennsylvania courts would decide the issues with …