Kanye West Sues Insurance Company for Saint Pablo Tour Cancellation
Kanye West is suing his insurers big time. Recently, the folks at The Hollywood Reporter revealed the rap legend filed a $10 million lawsuit against syndicates of insurer Lloyd’s of London, claiming the group is stalling as they find out ways they can avoid paying him the insurance money they allegedly owe him for the cancellation of his Saint Pablo tour.
As you may recall, Kanye suddenly canceled 21 dates of his Saint Pablo tour last fall after the armed robbery of his wife Kim Kardashian and his subsequent mental breakdown a few weeks later. Around the time of the cancellation, it was reported Kanye's insurers could pay him all the money he was set to make on those cancelled tour dates, but it looks like that hasn't happened—and it hasn't even been close.
According to the complaint, which was filed in Los Angeles on Tuesday (Aug. 1), the folks at Lloyd's of London tried to use Kanye's usage of marijuana against him, saying it could deny him the claim he'd usually be entitled to.
"Nor have they provided anything approaching a coherent explanation about why they have not paid, or any indication if they will ever pay or even make a coverage decision, implying that Kanye’s use of marijuana may provide them with a basis to deny the claim and retain the hundreds of thousands of dollars in insurance premiums paid by Very Good," reads the complaint. "The stalling is emblematic of a broader modus operandi of the insurers of never-ending post-claim underwriting where the insurers hunt for some contrived excuse not to pay."
Kanye's lawsuit notes the "erratic behavior" he displayed during different stops of his Saint Pablo tour, and the fact he obtained a sworn testimony from his primary physician indicating he had, indeed, suffered a mental breakdown that rendered him unable to perform. Apparently, that wasn't enough for his insurers, whom Kanye's lawsuit claims continued searching for excuses not to pay him.
"Almost immediately after the claim was submitted, Defendants selected legal counsel to oversee the adjustment of the claim, instead of the more normal approach of retaining a non-lawyer insurance adjuster," read's Kanye's complaint, which also claims Lloyd's of London also asked to examine 11 members of Kanye's entourage under oath despite already having testimonial from his primary physician.
It continues, "Immediately turning to legal counsel made it clear that Defendants’ goal was to hunt for any ostensible excuse, no matter how fanciful, to deny coverage or to maneuver themselves into a position of trying to negotiate a discount on the loss payment."
Kanye's lawsuit goes on to say his insurers raised "irrelevant facts" to delegitimize his claim, while leaking information about his dealings to news outlets.
"Plaintiff is informed and believes that the 'planting' of the Confidential Information with news outlets ... was part and parcel of Defendants’ efforts to impair Plaintiff’s rights to the indemnity payments due under the Insurance Policies," states the complaint, alluding to a non-disclosure agreement between Kanye and Lloyd's of London.
With all of this in mind, Kanye's lawsuit alleges that the insurer's actions constituted a "breach of contract and breach of good faith and fair dealing." Kanye's lawyer Howard King agrees: “Performing artists who pay handsomely to insurance companies . . . should take note . . . Lloyd’s companies enjoy collecting bounteous premiums; they don’t enjoy paying claims, no matter how legitimate.”
We're going to have to wait and see how all of this unfolds, but it looks like Kanye might have a legitimate case on his hands.
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