Nevada Breakfast Joints File Class Action Demanding Coverage for COVID-19 Losses

LAS VEGAS — Owners of the “Egg & I” breakfast restaurant chain in Las Vegas seek coverage for business income losses they sustained when state and local government closure orders were issued in response to the COVID-19 pandemic.

In an April 24 complaint filed in the U.S. District Court for the District of Nevada, plaintiffs maintain that coverage is available under their policy’s “Accidental Contamination,” “Malicious Tampering,” “Product Extortion” and “Adverse Publicity” coverages.

Defendants are U.S. Specialty Insurance Co., Professional Indemnity Agency LLC d/b/a Tokio Marine and HCC-Specialty Group.

The policies include an exclusion for losses arising from …