The Appellate Division affirmed a trial court ruling in favor of Lloyd’s of London in a complaint filed by a global distributor who sought insurance coverage for the detention of millions of inferior KN95 masks.

The plaintiff, Dialectic Distribution, is a global distributor and reseller of consumer electronics that purchased millions of KN95 masks from Chinese suppliers early in 2020, according to the opinion. Dialectic imported the masks for sale in the United States and Europe. Although the masks were supposed to meet a 95% filtration specification, they turned out to be inferior and less effective.