A Louisiana federal court has temporarily barred a Bermuda-based Chubb unit from pursuing arbitration proceedings in England in a dispute with a hospitality and entertainment company over coverage for pandemic-related losses at its U.S. properties.

U.S. District Judge James D. Cain Jr. on Tuesday granted a preliminary injunction motion from Fertitta Entertainment Inc., which owns the restaurant giant Landry's and Golden Nugget Casinos and Hotels. The judge also extended the terms of a temporary restraining order, pending a determination on whether to send the present action back to state court.

"For the time being, the court is only suspending proceedings while jurisdiction is decided under the motion to remand," Judge Cain said in the order. "The jurisdictional questions are not fully briefed and have been referred to the magistrate judge for review, report, and recommendation."

According to court filings, Fertitta and related entities sued their domestic insurers in Louisiana state court in July 2020, seeking coverage for business losses they sustained at their U.S.-based properties, including those in Louisiana, during the COVID-19 pandemic. The Fertitta entities eventually settled with those insurers following a trial in December 2024.

In January, the Fertitta entities amended their suit to add Chubb Bermuda Insurance Ltd.; however, before the insurer was properly served, it became aware of the amended petition and filed an anti-suit injunction, or ASI, in the High Court of Justice of England and Wales. The ASI, which was granted by the High Court, seeks to bar the Fertitta entities from pursuing their claims in Louisiana based on a provision requiring arbitration in London, according to court filings.

The Fertitta entities moved to set aside the ASI on Aug. 13. Two days later, they filed an ex parte application for a TRO and permanent injunction in the Louisiana state court suit, and on that same day, Chubb Bermuda removed the suit to federal court.

Judge Cain issued a 14-day TRO on Sept. 2, later extending the TRO until Sept. 30, court records show. The Fertitta entities have since filed a motion to remand, saying the suit belongs in Louisiana state court.

On Tuesday, the judge found that the factors needed for a preliminary injunction weighed in the Fertitta entities' favor, though noted that the first factor regarding the likelihood of success on the merits was satisfied "for the sake of argument" and that the "ruling should not be read as endorsing the merits of any party's arguments on arbitrability."

The judge held, however, that the Fertitta entities are at risk of harm from "losing the right to have arbitrability determined in the forum where they originally filed suit based on their arguments that arbitration agreements are unenforceable under Louisiana law."

The threatened injury to Chubb Bermuda is less significant, the judge said.

Additionally, granting the injunction will not disserve the public interest, Judge Cain said, adding that he was reluctant to reward the insurer's "tactic" of pursuing an ASI abroad before it could be properly served.

"The terms of the ASI are themselves oppressive, requiring plaintiffs to litigate all issues in this matter abroad and threatening jail time for anything less than strict compliance," the judge said. "Allowing the later-filed suit to proceed in determining arbitrability during that time would cause substantial inconvenience, unnecessary expense, and duplication of efforts."

Representatives of the parties did not immediately respond to requests for comment Wednesday.

The Landry's and Golden Nugget plaintiffs are represented by Christopher P. Ieyoub, V. Ed McGuire III and Peyton N. Robertson of Plauche Smith & Nieset LLC; Michael T. Gallagher, L. Boyd Smith Jr. and Pamela McLemore of The Gallagher Law Firm PLLC; Robert L. Salim and Julie J. Eldridge of Salim-Beasley LLC; Ulysses Gene Thibodeaux; and Joseph R. Pousson Jr.

Chubb Bermuda Insurance is represented by Judy Y. Barrasso, Janelle E. Sharer and Aaron M. Steeg of Barrasso Usdin Kupperman Freeman & Sarver LLC and Paul R. Koepff and Mina M. Beshara of Clyde & Co. LLP.

The case is Landry's LLC et al. v. Chubb Bermuda Insurance Ltd., case number 2:25-cv-01175, in the U.S. District Court for the Western District of Louisiana.