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Lawsuit could affect EPLI coverage. The complaint alleges the hotel chain kept thousands of workers on an indefinite furlough starting at the beginning of the pandemic and did not provide the required advanced warning to employees in an effort to avoid providing severance pay. (Photo: ALM Archives)

The Four Seasons Miami has become embroiled in a lawsuit that could cost the luxury hotel and resort tens of millions of dollars. Six former employees filed a class-action lawsuit in federal court alleging that the Four Seasons violated the federal Worker Adjustment and Retraining Notification (WARN) Act.

The complaint alleges the hotel chain kept thousands of workers on an indefinite furlough, beginning at the onset of the coronavirus pandemic, without providing the required advanced warning. It claims the move was a tactic to avoid providing severance pay. The case could have implications for the Four Seasons’ employment practices liability insurance (EPLI) coverage.

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