B&M's mom
Proud Parent
- Sep 4, 2010
- 449
- 786
Business interruption insurance most likely won’t come into play as it only covers losses caused by specified events. It’s unlikely that the failure to procure permits is one of those events. Liability insurance will not cover economic losses generally. They may have a specialized policy that provides some coverage but it will take a while to sort this all out. I would reach out to the attorney as soon as possible and make sure that you are notified if they do file anything. If they seek bankruptcy protection, you can definitely file a claim with the court.