California Supreme Court justices on Tuesday repeatedly pressed counsel for a concert production company to explain how the COVID-19 virus directly caused property damage covered by its insurance policy.

During oral arguments in a case closely watched by insurers, retailers and even professional sports teams, the justices appeared unpersuaded by arguments that the pandemic spread of SARS-CoV-2 and the resulting stay-at-home orders that shuttered venues temporarily were comparable to mold, asbestos or water damage.