Tuesday, January 26, 2021
Two federal cases in the Northern District of Ohio recently reached very different conclusions on whether the state’s COVID-19 shutdowns of restaurants permit valid claims for business interruption insurance coverage. Reviewing essentially the same facts and policy provisions, one court found for the insurer, holding no coverage to exist. The other found for the policyholder, awarding coverage. The opposite results will no doubt lead to further upcoming appellate activity in Ohio. The reasoning in these cases may also lead to further clarifications in Ohio about the rules for interpreting insurance policies.
A.
1:20-CV-01192
In
Santo’s case, Judge Pamela Barker dismissed the policyholder’s claims for business interruption coverage on two main grounds. First, the court found: (a) Santo’s failed to plead a threshold claim of “direct physical loss of or damage to” its insured premises, given the absence of any alleged “tangible�
of eulogizing the past 12 months. In 2020’s final days, Eater NY will be posting questions about New York City’s restaurant scene in the past year, with answers from food writers, photographers, chefs, restaurateurs, entrepreneurs, and even a few local legislators who helped to support the industry through this enormously difficult year. Now, we ask: What was 2020’s saddest restaurant closure?
Eric Adams, Brooklyn Borough President: There are too many to count.
Clay Williams, food photographer and co-founder of
Black Food Folks: Honestly, I’ve tried not to keep an eye on the ongoing list of closures, it’s all too terrible. But, hearing about The 21 Club, Blue Smoke, and Franklin Park, just this month has been pretty awful. They all have particular places in my personal history as a diner and in covering the industry. It’s hard to imagine this city if they hadn’t been there, or what could possibly take their places.