Neither Alabama’s Supreme Court or its appellate courts have ruled on the issue, however, the 11th Circuit determined that the wealth of recent business interruption cases implies that the state’s courts would also favor the insurer. (Credit: gumpapa/stock.adobe.com)
The 11th Circuit of the U.S. Court of Appeals joined other courts across the county June 6 in siding with an insurer against a business trying to recover profits lost during COVID-19 shutdowns.
Dukes Clothing LLC sued its insurance provider, The Cincinnati Insurance Company, after Alabama Governor Kay Ivey and the State Health Officer issued several executive orders restricting the operations of “non-essential” businesses, including retail stores. Dukes has locations in Tuscaloosa, Alabama, and Mountain Brook, Alabama; both of which were forced shut down.
