ORDER ON THE HARTFORD INSURANCE GROUP’S MOTION TO DISMISS (Doc. 61) Plaintiffs Buffalo Xerographix, Inc. (“BXI”), Shatkin F.I.R.S.T. LLC (“First LLC”), and Todd E. Shatkin DDS PLLC (“TES”) have filed a putative class action against defendant insurance companies, Sentinel Insurance Company, Ltd. (“Sentinel”), Hartford Casualty Insurance Co. (“Hartford Casualty”), and Hartford Insurance Company of the Midwest (“Midwest”) (collectively, “Insuring Defendants” or “Subsidiary Defendants”), and defendant The Hartford Insurance Group (“HIG”) for breach of contract and violations of New York General Business Law §349 relating to contracts for insurance between Plaintiffs and Defendants. (Doc. 60.) Defendant HIG has filed a motion to dismiss, arguing that Plaintiffs do not plausibly allege HIG’s liability under the contracts; that Plaintiffs lack standing for their claims against HIG; and that the court lacks personal jurisdiction over HIG. (Doc. 61.) Facts The Amended Complaint alleges the following facts. Plaintiff BXI entered into a contract for insurance with Sentinel, Plaintiff First LLC with Hartford Casualty, and Plaintiff TES with Midwest. (Doc. 60 1.) Plaintiffs seek to represent a class of similarly situated individuals who purchased contracts from Subsidiary Defendants and HIG. (Id. 165.) The Amended Complaint alleges that HIG was also a party to each of these contracts (id. 1), and that HIG “owns, directs and controls the activities” of the Subsidiary Defendants (id. 2). The insurance contracts at the heart of this litigation are commercial property insurance contracts. (Id. 3.) The contracts include “(a) policies identified by Defendants as ‘Spectrum Business Owner’s Policy’; and/or (b) Special Property Coverage Form SS 00 07 07 05 (the ‘Policy’).” (Id.) The Policy is “all risk” and provides coverage for physical loss or damage to property unless the loss is “excluded” or “limited.” (Id.
4-5.) Defendants have stated that the Policy does not provide benefits for losses due or relating to the novel coronavirus, the disease it causes (COVID-19), or the actions taken by civil authorities in response to the virus and COVID-19. (Id. 13.) Defendants denied coverage to Plaintiffs for damages arising from the virus, COVID-19, and orders issued by civil authorities (id. 15). A. Relationship Between Defendant HIG and Subsidiary Defendants Defendant HIG is a Delaware corporation registered and authorized to transact insurance business in New York. (Id. 20.) Sentinel, Hartford Casualty, and Midwest are each stock insurance companies “owned, controlled and directed by HIG.” (Id. 21.) HIG a) develops policy forms, endorsements, and exclusions which it issues directly and in conjunction with its Affiliates, (b) controls, directs and/or performs the underwriting activities for all insurance policies issued under the tradename “The Hartford,” including the policies issued to plaintiffs BXI, [First LLC], and TES, (c) controls, directs, and/[or] performs the underwriting activities for all insurance policies of which any of the Affiliates are referenced as a “writing company;” (d) controls, directs, and/or performs claims investigation through common claims representatives for the policies issued by it and/or any Affiliate, including the policies issued to plaintiffs BXI, [First LLC], and TES, and (e) controls, directs, and performs coverage determinations for policies issued under the tradename The Hartford and/or by any of the Affiliates, including the policies issued to plaintiffs BXI, [First LLC] and TES. (Id. 22.) HIG “controls and directs” the claims processing for policies sold by HIG and Subsidiary Defendants. (Id. 26.) Plaintiffs allege that HIG and Subsidiary Defendants “share and use the same logo(s)” (id. 119), slogans (id. 120) and “marketing, including common use of the ‘Stag’ logo and ‘The Hartford’ as registered trademarks” (id. 127); “share and use the same forms, including the [Department of Financial Services] Response, [Insurance Service Office] forms, policy forms, reservation of rights letters, and denial letters” (id, 121); “share the same underwriting department, such that the underwriting department underwrites claims for each Affiliate indiscriminately and indistinguishably” (id. 122), and “the same adjusters and examiners, such that the same individuals investigate, adjust, examine, and make coverage determinations on claims for each Affiliate” (id. 123); and share the same office space, including One Hartford Plaza, Hartford, CT and 501 Pennsylvania Parkway, Indianapolis, IN (id,
