Insurer Needn't Pay Food Co.'s Costs To Stay Open

By Mike Curley (August 5, 2020, 6:48 PM EDT) -- A Massachusetts federal judge ruled Wednesday that Steadfast Insurance Co. does not need to reimburse policyholder Ken's Foods for costs the salad dressing maker incurred to stay in operation while cleaning up a wastewater spill.

U.S. District Judge Leo T. Sorokin granted partial summary judgment to Steadfast in the suit launched by Ken's Foods Inc., saying Ken's hasn't shown any legal precedent for claiming that Massachusetts common law entitles it to payments that its insurance policy does not.

Noting that Steadfast has already paid out about $882,000 on the policy relating to the cleanup and that there were other expenses that...

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