Wednesday, November 16, 2022

Motion to Dismiss Granted in Declaratory Judgment Action Over Coverage for Covid-19 Shutdowns

In the case of Reconstructive Orthopeadic Assoc. v. Zurich Am. Ins. Co., No. 21-4003 (E.D. Pa. Sept. 29, 2022 Savage, J.), the court granted a Defendant carrier’s Motion to Dismiss a Plaintiff’s claims for insurance coverage for business losses due to COVID-19 shutdown Orders.

The court found that the Plaintiff’s claims in this regard fail because the Plaintiff did not allege any direct physical loss of or damages to its properties.

The court additionally found that the Plaintiff failed to state a claim under the communicable disease provision since it did not show an inability of access to the facilities due to a government Order issued in response to the discovery or threat of COVID-19 at the Plaintiff’s property.

Anyone wishing to review a copy of this decision may click this LINK.

Source: “Digest of Recent Opinions.” Pennsylvania Law Weekly (Oct. 20, 2022).

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