A sports bar in Florida has filed a lawsuit against its insurer Lloyd’s of London alleging that it was denied a business interruption claim during the coronavirus pandemic.

Prime Time Sports Grill states that it was issued a commercial property insurance policy from Lloyd’s to cover all risks from June 7, 2019 to June 7, 2020. The plaintiff maintains that loss of business income is covered under the policy and that the state suspension of operations due to the coronavirus is not an exclusion under the policy.

The plaintiff claims that it has operated as a bar and restaurant in Tampa, Florida with gross receipts more than $150,000 per month and operating expenses of $120,000 per month. The bar alleges that it employs between 20 and 25 employees and is open 7 days a week, 365 days per year from 11 a.m. to 3 a.m. 

On March 20, 2020, the governor of Florida ordered all bars and restaurants to close for 30 days due to the coronavirus outbreak, according to the lawsuit. This closure had a devastating effect on Prime Time Sports Grill, the plaintiff says.

Was your business closed due to the coronavirus pandemic? Get legal help by clicking here.

In addition, on April 1, the governor ordered a state-wide stay at home order for an additional 30 days for the entire state of Florida in response to the coronavirus pandemic, which further hindered Prime Time’s business, the sports bar argues.

On March 17, Prime Time claims that it contacted Lloyd’s and notified them of the loss of business, provided all of the details regarding the loss and permitted the defendant to investigate the claim. 

The plaintiff states that on March 23, the insurance company denied all of the claims and refused to pay the benefits under the insurance policy.

Prime Time maintains that it is under the rights, status and privileges of the policy, as well as the rights of the insurance carrier, to provide coverage for losses stemming from the governmental suspension occurring because of the coronavirus pandemic.

“Prime Time has a bona fide, actual and present need for a declaration and construction of the policy of insurance, its status, rights, and privileges, and Underwriter’s obligation to provide coverage to Prime Time under the policy of insurance, including its primary coverage and all coverage extensions, including the applicable coverage triggers under the policy,” the plaintiff argues.

The lawsuit alleges that a bona fide, actual dispute exists between the bar and the insurance company. In addition, Prime Time says that it has been obligated to retain counsel in this matter and that Lloyd’s should have to pay any reasonable attorneys’ fees.

Prime Time has filed this lawsuit in order to obtain a declaratory judgment that the policy issued by Lloyd’s should provide coverage for the losses stemming from the coronavirus governmental suspension of business operations, of up to $200,000.

This is not the first lawsuit filed by a bar and restaurant attempting to file a claim under their insurance related to business losses due to the coronavirus.  

For example, Oceana Grill, a popular eatery in New Orleans, filed suit against their insurance company looking for a payout under their policy. The suit says that the governor of Louisiana has ordered all restaurants to be closed or provide take-out only delivery.

Oceana Grill has reportedly looked to their business interruption insurance carrier to provide assistance for lost revenue due to the coronavirus pandemic. According to Oceana Grill, their policy provides for an “all risks” coverage, which includes coverage for a civil ordered shutdown of their restaurant and that based on their policy, they should be covered for any losses due to the global pandemic.

Oceana reportedly points to other countries such as China, Italy, France, and Spain which have turned to fumigating public areas, such as restaurants, before reopening to the public. Oceana says that these situations should count as “direct physical loss” under their business interruption insurance.

Two other restaurants, French Laundry and Bouchon Bistro, both owned by well known chef Thomas Keller, agree with Oceana Grill. Keller says that his restaurants should be covered by their “all risks” insurance policies.

Both of Keller’s restaurants were forced to close due to Napa Valley ordering non-essential businesses to close on March 18. As a result of the closure, Keller had to furlough 300 employees.

The plaintiff in the Prime Time Sports Grill lawsuit is represented by Michael V. Laurato of Austin & Laurato PA.

The Prime Time Sports Grill Insurance Coverage Lawsuit is Prime Time Sports Grill Inc. v. Certain Underwriters at Lloyd’s London, Case No. 8:20-cv-00771, in the U.S. District Court for the Middle District of Florida.

Read More Lawsuit & Settlement News:

Hospital OxyCide Cleaner Side Effects Lawsuit Investigation

Chinese Laminate Flooring Class Action Settlement

Are Sex Trafficking Victims at Risk for Catching, Spreading COVID-19?

Post Foods Sugary Cereal Class Action Gets Certified