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The restaurants in Philadelphia file COVID-19 class choice suit



A group of Philadelphia restaurants and bars filed a lawsuit seeking class action against Allianz SE units on Tuesday to cover business interruptions in connection with the COVID-19 pandemic.

additional expenses incurred as a result of the inability to use their physical locations would be paid unless specifically and unequivocally excluded, ”according to the lawsuit Tria WS LLC et al. v. Allianz Global Risks US Insurance et al. filed in U.S. District Court in Philadelphia.

Allianz "renewed its promises and erroneously failed to fulfill its contractual obligation to provide coverage," court documents say.

The action seeks declaratory judgments and accuses insurers of breach of contract and bad faith.

An Allianz spokesman could not be reached for comment.

Appellate Attorney Adam J. Gomez, a manager at Grant & Eisenhofer PA in Wilmington, Delaware, who filed the lawsuit, said there have been "predictable results" in other COVID-1

9 business interruption lawsuits in certain jurisdictions, which have dismissed similar lawsuits. , "there are still rulings from other jurisdictions" that have stated otherwise on the issue of covered losses or damages.

"We are really optimistic that the Eastern District of Pennsylvania will read this policy literally because they are obliged to o" and "keep the insurance companies to the exact language they used" in their coverage, he said.

A federal Texas court extended new bans on commercial policyholders seeking coverage for coronavirus-related business break-even losses earlier this month and ruled that pandemic-related lockdowns did not constitute a direct physical loss for a group of barbershops.

But in Missouri, a federal judge allowed an application, but a group of hair salons against their insurers to move forward.

More insurance and risk management news about the coronavirus crisis here .

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