The lawsuit alleges that the 35 linked MSG companies paid "millions of dollars in premiums," but "instead of honoring their obligations, the insurers have paid nothing for the MSG Insureds' losses."
The court ruled on whether there was any physical damage to the properties and if activities designed to prevent the transmission of the coronavirus were 'repairs'.
The insurance policy phrase "direct physical loss of or damage to" has been in the news the past few years thanks to BI cases stemming from the pandemic.
The opinion links two other recent Supreme Court decisions that have set precedent in resolving disputes over D&O insurance coverage, all clarifying the role Delaware laws play in those contracts.
The Fifth DCA reversed a punitive damage award a jury returned to petitioner Brinda Coates against respondent R.J. Reynolds Tobacco Co. that exceeded the net compensatory damage award by a ratio of 106.7:1.
"In order to hold in the manner in which you're arguing we would have to read 'purchase' to mean any change in coverage," said Justice Christine Donohue, who sits on the Pennsylvania Supreme Court bench.