Policyholder Group Tells 1st Cir. That COVID-19 Can Cause ‘Physical Loss or Damage’

BOSTON — A policyholder advocacy group has filed an amicus curiae brief in Legal Sea Foods’ COVID-19 coverage appeal, arguing that the phrase “physical loss or damage” is broad and not limited to “distinct, demonstrable, physical alteration” to property.

In its May 10 filing in the 1st Circuit U.S. Court of Appeals, United Policyholders further contends that defendant Strathmore Insurance Co. intended coverage for virus-caused business interruption and removed the virus exclusion from its policies because it knew policyholders expected such coverage.

Legal Sea Foods owns and operates 34 restaurants in Massachusetts, the District of Columbia, New Jersey, Pennsylvania, Rhode …