11th Circ. Says Eatery's Losses During Roadwork Not Covered

Law360 (August 18, 2020, 5:34 PM EDT) -- The Eleventh Circuit on Tuesday affirmed that Sparta Insurance Co. does not have to cover a Miami restaurant's lost income and extra cleaning costs due to nearby roadwork, agreeing with a Florida federal judge that the eatery's claimed losses did not result from covered "direct physical loss of or damage to" its property.

A three-judge panel of the appeals court upheld Chief U.S. District Judge K. Michael Moore's 2018 decision granting summary judgment to Sparta in its coverage dispute with policyholder Mama Jo's Inc., which operates the Berries in the Grove restaurant in Miami's historic Coconut Grove neighborhood.

Berries had sought...

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