(December 2022) - In Amy's Kitchen,
Inc. v. Fireman's Fund Ins. Co., 83 Cal. App. 5th 1062
(2022), the First District Court of Appeal reversed the Sonoma
superior court's dismissal of a COVID-19 case because the
complaint alleged "direct physical loss" within the
meaning of the subject Communicable Disease coverage extension, and
because plaintiff indicated it could amend to allege a
"communicable disease event.
Organic food manufacturer Amy's Kitchen, Inc.
("Amy's") sued Fireman's Fund Insurance Company
("Fireman's") after the insurer denied Amy's
claim for costs incurred to clean, disinfect, and test its
facilities for the coronavirus. The policy included a communicable
disease coverage extension that covered "direct physical loss
or damage to Property Insured caused by or resulting from a covered
communicable disease event at a location including the following
necessary costs incurred to: [¶] ... [m]itigate, contain,
remediate, treat, clean, detoxify,
