Sacramento Downtown Arena LLC v. Factory Mutual Ins. Co.

UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF CALIFORNIA 10 Sacramento Downtown Arena LLC, et al., No. 2:21-cv-00441-KJM-DB Plaintiffs, ORDER v. Factory Mutual Insurance Company, 1S Defendant. 16 In this insurance coverage dispute, Factory Mutual Insurance Company moves to dismiss 18 its insureds’ claims that it wrongly denied coverage of losses related to the COVID-19 pandemic. The motion is denied. As explained in this order, one reasonable interpretation of the policy’s 20 scope and exclusions encompasses the plaintiffs’ insurance claims. I. BACKGROUND The plaintiffs operate and manage the Golden 1 Center, which is the home of the Sacramento Kings, as well as a nearby hotel and outdoor shopping center. See Compl. 15-18, 24-27. early 2020, the rapid spread of SARS-CoV-2 and COVID-19 developed into a global pandemic. See id. J 40-48. California and Sacramento County urged people to stay home, and 26 every event at the Golden 1 Center was…