Ala. Restaurants Sue Cincinnati Insurance for COVID-19 Business Losses

BIRMINGHAM, Ala. — A group of Alabama restaurants have sued Cincinnati Insurance Co., demanding coverage for business interruption losses it sustained when it was forced to halt or limit operations due to the COVID-19 pandemic and related government closure orders.

In a June 19 complaint filed in the U.S. District Court for the Northern District of Alabama, Serendipitous, LLC/Melt, Melt Food Truck, LLC d/b/a Melt, and Fancy’s on Fifth, LLC d/b/a Fancy’s on Fifth accuse Cincinnati of breaching the policy by denying their claim without conducting an adequate investigation.

“The losses against which Plaintiffs are insured under the Policy include, …