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Food And Beverage Law Update: July 2021 - Food, Drugs, Healthcare, Life Sciences


COVID-19
Most Courts Are Rejecting All Risk Insurance Policy
Claims Related to COVID-19
The overwhelming majority of courts have concluded that
neither COVID-19 nor the governmental orders associated with it
cause or constitute property loss or damage for purposes of
insurance coverage. So concluded the district court in
Out West Restaurant Gp., Inc. v. Affiliated FM Ins. Co.,
No. 20-cv-06786, 2021 WL 1056627 (N.D. Cal. March 19, 2021). The
court continued, These decisions have reasoned that the virus
fails to cause physical alteration of property because temporary
loss of use of property (if any) during a pandemic and while
government orders are in effect does not qualify as physical loss ....

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