Blog Banner Image

The Road to Insurance Recovery

Insights for Policyholders
Excuse the Interruption

All eyes are on the New Jersey Supreme Court as we await oral arguments on the latest business interruption coverage dispute. In the lawsuit, an Atlantic City casino, Ocean Walk, seeks reimbursement for costs incurred during the pandemic shutdown from several insurance companies. The insurance companies denied coverage and moved to dismiss the insured’s lawsuit. The trial judge denied the motion to dismiss, finding that Ocean Walk had made a sufficient showing of coverage in its pleadings.

The Appellate Division reversed, finding that the contamination exclusion provision in the policy encompassed Covid-19.

The issues before the New Jersey Supreme Court will be:

  1. whether the presence of Covid-19 or state orders shutting down casinos caused a direct physical loss or damage to the property, and
  2. whether policy language excluding contamination applies.

The Supreme Court’s decision in New Jersey is sure to influence similar business interruption disputes pending across the nation, some of which have stayed proceedings until after the Ocean Walk ruling.

Email LinkedIn Twitter Facebook
  • Teresa  Hurla

    Teresa Hurla is an associate focusing on tortious law. She brings extensive experience handling fire and explosion cases involving catastrophic injuries and wrongful death. Teresa recognizes the importance of initial factual ...

The information contained in this post is provided to alert you to legal developments and should not be considered legal advice. It is not intended to and does not create an attorney-client relationship. Specific questions about how this information affects your particular situation should be addressed to one of the individuals listed. No representations or warranties are made with respect to this information, including, without limitation, as to its completeness, timeliness, or accuracy, and Lathrop GPM shall not be liable for any decision made in connection with the information. The choice of a lawyer is an important decision and should not be based solely on advertisements.

About this Blog

Lathrop GPM is one of the largest law firms in the United States representing policyholders, providing policyholders with the necessary guidance and legal counsel to handle everything from negotiating coverage and managing risk to litigating insurance disputes and recovery. The Road to Insurance Recovery blog is dedicated to helping readers better understand and manage the complexities of the modern business insurance policy.
Read More



Blog Authors

Recent Posts