Thursday, July 2, 2009

Court Rules in Favor of Taco Bell Franchisees

2009-07-02] The Superior Court of New Jersey granted partial summary judgment in favor of franchisees of Taco Bell Restaurants against Underwriters of Lloyds, which sold Trade Name Restoration, Loss of Business Income, and Incident Response Insurance for Food Borne Illness (TNR) policies to the franchisees. Invoking the policyholders' reasonable expectations and noting that "any exclusion must be clear," Hon. Judge Phillip Lewis Paley, JSC, found that an "aggregate supplier incident sublimit" cannot be used as a stealth exclusion to deny coverage for business income losses stemming from food contamination that was allegedly caused by lettuce that went into some Taco Bell menu items.

Read more:
http://www.qsrmagazine.com/articles/news/story.phtml?id=8884&utm_source=RSS_Feed&utm_medium=RSS&utm_campaign=RSS_Syndication

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