Mars Inc. filed a complaint against Factual Mutual Insurance Company, doing business as FM Global, seeking the court’s ruling on factual questions, scientific issues, and an interpretation of the insurance contract issued to them by the defendant.
Mars Inc. is a global manufacturer of candy, pet food and products, and other food products. According to the complaint, the plaintiff’s insurance policy was issued for January 2020 to January 2021. The defendant disputes the terms necessary to ascertain from the insurance policy the amount owed to the plaintiff.
According to the complaint, the plaintiff sustained substantial financial losses due to the COVID-19 pandemic. The complaint alleges that the policy purchased by the plaintiff is an “all-risk” policy which contains grants of coverage for a communicable disease. Unlike other “all-risk” policies, the policy the defendant sold to the plaintiff does not include a “virus exclusion” but does include a “contamination exclusion.” According to the policy, COVID-19 is not a “contaminant.”
The defendant disputes that the presence of COVID-19 is not a “physical loss or damage to property” and thus, disputes the amount owed to the plaintiff.
The plaintiff seeks declaratory judgment for relief.
The plaintiff is represented by Morgan, Lewis & Bockius LLP.
