Virus Exclusion Applies to San Francisco Restaurants’ Losses, Federal Judge Rules

SAN FRANCISCO — The owners of two San Francisco restaurants are not entitled to COVID-19 business interruption coverage from California Capital Insurance Co. because their losses fall within the policy’s virus exclusion, a federal judge has ruled.

In an Oct. 26 order, Judge Charles R. Breyer of the U.S. District Court for the Northern District of California found that nothing in the exclusion suggests that it is limited to property damage; therefore, it applies to the plaintiffs’ business income losses and extra expenses.

Boxed Foods Company, LLC and Gourmet Provisions, LLC, which own the B Restaurant and Bar and The …