Property/Business Interruption Insurance Litigation in the U.S involving business interruption losses (principally involving whether such losses have arisen in connection with physical loss to property, and whether various exclusions for virus and pandemic apply) is proliferating. Some of the recently-filed cases are noted below. Five cases v. Travelers and CA Governor (CA) – Mark Geragos, his Los Angeles law firm and several other businesses have sued Travelers claiming the insurer is wrongly refusing to cover claims. The five suits accuse Travelers of failing to honor property insurance policies without a virus exclusion, and which should have been triggered when Los Angeles Mayor Eric Garcetti issued an order closing nonessential businesses on March 15. The suits plead that the “currently raging pandemic” has caused real physical loss and damage around the world and that the CA Governor’s “stay-at-home” order has prohibited access to the properties. The plaintiffs do not expressly seek a ruling that the COVID-19 virus existed at any of the subject properties. It is […]

Florida’s largest advocacy group for long-term care providers is requesting protection from lawsuits for health care professionals amid the coronavirus (COVID-19) outbreak. The Florida Health Care Association (FHCA) sent a letter to Gov. Ron DeSantis requesting “immunity from any liability, civil or criminal” under certain conditions for nursing homes, hospitals, and other facilities. The group is the most recent in a series of health care associations seeking legal immunity during the coronavirus. Florida has reported 962 cases of COVID-19 throughout the state’s 93 long-term care facilities. A recent USA Today Analysis of federal inspection data found that a majority of nursing homes (75%) in the U.S. have been cited for failing to properly monitor and control infections in the past three years. Nursing homes provide the ‘perfect-storm’ environment for COVID-19, putting residents at higher risk of serious illness with facilities that are not properly equipped to prevent disease and the spread of infection. Georgia recently issued an executive order that provides civil immunity for health […]

Carnival Corp. is facing lawsuits from several passengers who claim they weren’t warned of the high risk of being infected with the novel coronavirus on the company’s cruise ships. Wells Fargo, Bank of America, JPMorgan Chase and US Bancorp have been sued by small businesses that missed out on coronavirus rescue loans because, the small firms contend, the banks first processed big loans that generated big fees rather than on a first-come-first-served basis. Six Flags Magic Mountain is being sued by a theme park fan who objects to the park collecting monthly payments for his membership pass while the park is closed due to the pandemic. Crisis and calamities spark finger pointing and demands for compensation, and the coronavirus outbreak is no different. Like the pandemic, coronavirus-related legal disputes are likely to be widespread and drag on for years. “You are going to see more lawsuits,” said Brian Kabateck, an attorney and chairman of the board at Loyola Law School in Los Angeles. “They are […]

The legislation would not protect gross negligence. Sen. Jeff Brandes is preparing legislation that would protect Florida businesses from being sued if someone contracts the novel coronavirus while working or receiving goods and services on their premises. As Gov. Ron DeSantis takes steps to begin reopening the state as soon as May 1, Brandes said businesses, particularly small businesses, are worried about liability issues. “It really is one of the top concerns of businesses reopening,” Brandes said. “Asymptomatic people working in their faculty could spread the disease and lawsuits could come from that.” “This is a top of mind issue for them and one that will keep Florida from reaching its full potential,” he continued. Brandes said he’s heard from numerous small business owners who are fearful over liability associated with reopening if an employee or customer were to contract the illness even if they were taking reasonable steps to protect them. He worries that fear will lead to businesses not reopening even if the […]