SALEM — The homeowners of a downtown Salem restaurant and bar have misplaced of their effort to get their insurance coverage firm to reimburse them for misplaced enterprise in the course of the COVID-19 pandemic.
The choice by a Lawrence Superior Court docket decide got here two months after the state’s highest court docket dominated in an identical case that property injury or loss claims require there to be direct bodily loss or injury, and never simply the passing presence of an airborne substance that may dissipate or that may be eliminated by easy cleansing.
Village Tavern on Essex Avenue was certainly one of 1000’s of companies across the nation that, after being ordered to curtail or shut their companies in the course of the first 12 months of the pandemic, made claims in opposition to their enterprise insurance coverage insurance policies.
Attorneys for the companies argued a number of authorized theories. The Village Tavern’s legal professionals argued that the insurer, Sure Underwriters of Lloyds of London, ought to pay their declare based mostly on the infiltration of the coronavirus into the power.
In a choice final week, Lawrence Superior Court docket Decide John Lu concluded that he was sure by the Supreme Judicial Court docket’s April ruling in an identical case, Verveine Corp. vs. Strathmore Insurance coverage, and granted the movement by the Lloyds underwriters to dismiss the Village Tavern lawsuit.
“On this court docket’s view there aren’t any grounds on which Verveine Corp. could also be distinguished from the present case,” Lu wrote. “As a result of the Tavern can not allege details demonstrating a direct bodily lack of or injury to the property inside the which means of the coverage, its claims should be dismissed.”
Courts reporter Julie Manganis will be reached at 978-338-2521, by electronic mail at [email protected] or on Twitter at @SNJulieManganis