In an influential pandemic-related business interruption case reviewed last Wednesday, New York’s top court was debating the character of coronavirus, specifically whether it accounts for a tangible physical loss akin to a damaged chair or a fire-gutted warehouse to a string of restaurants. Here is the original article.
53 prominent restaurants, each part of the Consolidated Restaurant Operations, and represented by Robin Cohen, argued in front of the New York Court of Appeals for the physical interpretation of virus damage. As a result of the viral contamination, making both air and surfaces hazardous, according to Cohen, many eateries had to shutter, albeit voluntarily.
The stance, however, did not seem to fully convince Court of Appeals Judge Jenny Rivera. The broader implications of deciding how the virus alters the environment inside restaurants and whether it counts as ‘physical damage’ might redefine the landscape of business interruption cases due to the pandemic.