In-N-Out Burger Sues Insurer For Losses
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In-N-Out Burger Sues Insurer For Losses

In-N-Out Burger Sues Insurer For Losses

In-N-Out Burger has sued its insurer Zurich American Insurance Co. for breach of contract, alleging the company wrongly denied coverage of the brand’s losses from the nationwide lockdown brought on by the Covid-19 pandemic, according to Law360 reports.

The QSR brand filed a complaint in California federal court saying it has an “all risk” policy that includes coverage for “entirely unknown and novel risks that may arise which were not previously considered by the company.”

The complaint goes on to state, “As a result of the Covid-19 pandemic, the property damage caused by the novel coronavirus, and in compliance with government guidance and orders, In-N-Out was forced to close all of its restaurant dining rooms. Based on the phased reopening being permitted by numerous government agencies, it appears highly likely that the reopening of dining rooms will be allowed only in a phased approach that may vary by specific location.”

In-N-Out’s policy with Zurich has a $250 million limit.

The QSR brand operates more than 300 locations throughout California, Oregon, Nevada, Arizona, and Texas.

Published: June 10th, 2020

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