Class-action Lawsuit Joins Growing Number Over Business Interruption Insurance Denials Amid COVID-19 Pandemic

A class-action lawsuit led by a Monroe County eatery joined a growing number of lawsuits over business closures related to the COVID-19 pandemic, and whether losses from those closures are covered by business interruption insurance.

The lawsuit filed Wednesday by Badger Crossing Pub & Eatery, a Cashton business that would be the lead plaintiff in the class action if it’s approved by a judge, demands that Society Insurance cover business losses that happened as a result of business closure orders issued by Gov. Tony Evers as part of a strategy for combating the spread of COVID-19, the respiratory disease caused by the new coronavirus.

The lawsuit, filed in Dane County Circuit Court, also demands a finding that Fond du Lac-based Society Insurance was in breach of its contracts with businesses when it denied coverage for losses related to COVID-19.

The lawsuit is not the first filed against Society over COVID-19 business claims.