GA, Eatery Loses Bid For Coverage of COVID-19 Losses1 min read

Law360 — Allied Insurance Co. of America is not obligated to cover losses that a Georgia Cajun restaurant suffered when it closed amid the COVID-19 pandemic, a federal judge in the Peach State ruled Tuesday, finding the eatery did not allege a requisite “physical loss of or damage to” its property.

Chief U.S. District Judge Thomas W. Thrash Jr. granted Allied’s motion to dismiss the complaint filed by Acworth, Georgia-based Henry’s Louisiana Grill Inc. and an affiliate, concluding the restaurant operator cannot tap into the business income or “civil authority” coverage in its policy with the insurer.

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