Bloomberg Law
July 6, 2020, 6:36 PMUpdated: July 6, 2020, 10:56 PM

Minor League Baseball Teams Sue Insurers After Season Scrubbed (2)

Jacob Rund
Jacob Rund

Minor League Baseball teams are mounting a legal challenge against their insurers for denied business interruption coverage after the 2020 season was scrapped due to the coronavirus pandemic.

In two similar lawsuits filed July 2 in federal court, 19 teams claimed Major League Baseball’s decision not to provide players for minor league rosters help caused income loss that should be covered under standing insurance policies. Minor League Baseball canceled its season late last month after hearing of the MLB’s plans to keep players out of the developmental leagues this year while holding its own abbreviated season.

Insurers have largely denied ...