Malaga Businesses Predict Large Amount of Lawsuits Following Covid Economic Loss

BUSINESSES in Malaga are predicting large amounts of lawsuits against Spain’s government after suffering economic losses during Covid.

Hotel businesses represented by the Malaga Hoteliers Association have reportedly contacted three law firms to begin bringing lawsuits against the different branches of Spanish government after the economic loss the sector has suffered during the Covid crisis.
The association said it would bring action against all institutions that have made decisions that have damaged their sector, according to media reports.
The news comes after the Superior Court of Justice of the Basque Country (TSJPV) has allowed the hotel industry there to reopen.
Meanwhile a Girona court has also ordered an insurance company to pay €6,000 to a pizzeria affected by last year’s lockdown in line with the restaurant’s insurance policy.
The president of the Malaga Hoteliers Association, Javier Frutos, said both rulings could help local businesses in their lawsuits and is now offering online conferences to support businessmen.
According to the association the hospitality sector has been, “mistreated, singled out and abandoned.”
It added: “The institutions have to pay in court for the tremendous damage they have done to us and are doing to us,” claiming Spain, “is helping the hospitality industry the least.”
Frutos said the current economic situation was “unsustainable,” after sales dropped around 70 per cent since the start of the pandemic.  The president said that between 25 and 30 per cent of businesses had already closed, and this figure could increase to 50 per cent.

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