Ala. Women’s Clothing Store Loses Bid for COVID-19 Coverage

BIRMINGHAM, Ala. — An Alabama federal judge has dismissed a women’s clothing boutique’s COVID-19 coverage action against Cincinnati Insurance Co., ruling that it did not sustain “a direct physical loss or direct physical damage to” covered property, as required by the policy.

On May 5, Judge Gray M. Borden of the U.S. District Court for the Northern District of Alabama concluded that COVID-19 particles did not cause “tangible, concrete” harm to Dukes Clothing LLC’s property, which is required to trigger coverage.

Dukes says beginning in March 2020, it was required to close and later limit operations in its two …