A United States appeals court said a federal court was right to toss Ali Sedaghatpour’s lawsuit claiming that his insurer, Lemonade Insurance, should cover him for a crypto scam loss.
A homeowner’s attempt to sue his insurer for failing to cover his $170,000 loss to a crypto scam has failed in a United States appeals court, with a three-judge panel ruling there was no error in dismissing his case.
The Fourth Circuit Appeals Court ruled on Oct. 24 that a Virginia District Court judge made no error in ruling that Ali Sedaghatpour has no breach of contract claim against Lemonade Insurance as his homeowner’s policy only covered “direct physical loss” of property.
Sedaghatpour sued Lemonade Insurance in 2022, claiming the insurer should have covered him under the policy for $170,000 in crypto stolen from him in a scam.
