Alley 63, Inc. v. Society Insurance

Illinois Appellate Court
Civil Court
Insurance Coverage
Citation
Case Number: 
2022 IL App (2d) 210401
Decision Date: 
Wednesday, March 30, 2022
District: 
2d Dist.
Division/County: 
Kane Co.
Holding: 
Reversed and remanded.
Justice: 
BRENNAN

Plaintiff restaurant brought a declaratory judgment action seeking a finding that its business losses due to the Covid-19 pandemic were covered under the “contamination” provision of its commercial property insurance policy. The trial court entered judgment for plaintiff on the coverage claim and subsequently granted plaintiff’s motion for class certification. Defendant appealed the order granting the class certification pursuant to SCR 306(a)(8). The appellate court first examined whether plaintiff stated a valid cause of action as a “threshold” consideration in reviewing the propriety of the class certification order and found that plaintiff’s failure to allege the presence of the virus in its products, merchandise, or premises defeated its claim for coverage under the policy’s contamination provision. The appellate court reversed the trial court order granting class certification and remanded for further proceedings consistent with the opinion. (HUTCHINSON and BIRKETT, concurring)