The plaintiffs' claims were dismissed in their entirety; the insured glass recycling company failed to recover under an ISR policy for stockpiles removed by the EPA during a statutory clean-up, damage to other premises items, and consequential business interruption losses. The court held that the EPA's removal and disposal of contaminated stockpiles constituted 'confiscation' within Perils Exclusion 1(b), that the stockpiles were not 'sound property' for the Write-Back because they were the very source of the fire and environmental risk, and that Endorsement NMA 2342 independently excluded all claims as arising from contamination or steps taken in connection with its clean-up. For Section 2 consequential loss, the court confirmed that temporary loss of access to premises caused by a government authority's occupation is not 'physical loss' of property insured and cannot ground a business interruption claim; the interruption must be caused by the physical loss of the specific property, following Allstate v QBE Insurance. The decision also illustrates the evidentiary burden on insureds to prove causation for damage claims attributed to third-party occupation, and the risks of inconsistent positions taken in prior litigation being deployed against credibility.
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