N.Y. Judge Tosses Restaurant Group’s COVID-19 Coverage Action

NEW YORK — A New York judge has dismissed a COVID-19 coverage action filed against Westport Insurance Corp. by a company that owns more than 50 restaurants in 12 states and the United Arab Emirates, finding it did not sustain “direct physical loss or damage” to the covered properties.

In a one-page order issued Aug. 4, Judge Jennifer G. Schecter of the New York County Supreme Court concluded that Consolidated Restaurant Operations Inc. (CRO)’s losses are not covered by the policy.

CRO, a global restaurant group, alleged that in March 2020, all its restaurants were forced to close in compliance …