Arcade Owner Cannot Recover for COVID-19 Contamination, 11th Cir. Affirms

ATLANTA — An arcade and amusement business cannot recover COVID-19-related business losses from The Cincinnati Insurance Co. because it did not sustain “direct physical loss or damage to property,” an 11th Circuit U.S. Court of Appeals panel has affirmed.

On June 23, the panel agreed with the U.S. District Court for the Northern District of Georgia that “property contamination due to the virus” does not cause an actual physical change to property, as required by the policy.

AIKG LLC operates an amusement business that offers indoor go-karting, video arcades, full-service dining, and other attractions at five locations in Georgia, Texas, …