Waterfront Property Co.'s Virus Coverage Suit Washed Away

By Ryan Harroff (September 24, 2021, 6:06 PM EDT) -- A New York federal judge on Friday nixed a proposed class action brought against Travelers Indemnity Company of America over pandemic coverage, rejecting an argument from the suing property management company that government shutdown orders subvert its policy's virus exception. 

New York-based Poughkeepsie Waterfront Development LLC failed to convince U.S. District Judge Kenneth M. Karas that Travelers' virus exclusion to its policyholders' loss of business insurance does not apply when the loss of business was caused by government mandates to close their stores in response to a virus rather than by the virus directly. Instead, Judge Karas ruled that those orders...

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