There are now over 600 restaurant bosses threatening to go to court if their insurers do not commit to paying out on business interruption cover by close of business today.
This follows a decision by the High Court last week in which the court ruled four pub owners are entitled to be compensated by their insurer, FBD for the disruption to their businesses caused by Covid-19 restrictions.
Mr Justice Dennis McDonald found a policy sold by the insurer covered losses sustained due to the pandemic, a decision which will impact approximately 1,000 similar claims that have been made by restaurants and pubs.
The Restaurants' Association said its legal advisors will be ready to launch proceedings in the High Court early next week to enforce last week's ruling.
The Association said up to 40 restaurateurs who were set to join the action have begun receiving interim payments from a UK insurer.
The group's CEO, Adrian Cummins, says the Central Bank should have acted on the failure to pay out on the policies months ago.
"It feels like we are doing all the leg work here. Covid arrived in Ireland in March of last year, we are nearly coming up to the anniversary of the shutdown of hospitality.
"The Central Bank, the regulator and the competition authority have had enough time to review and look at what has been going on from the sidelines. We now need them to put of the green jersey and get into the fight as quickly as possible so that these businesses can be saved."
