Kanye West Files $10 Million Lawsuit Over Canceled Tour
Kanye West has another legal battle on his hands.
According to The Hollywood Reporter, Kanye West and his company, Very Good Touring, Inc., are suing various syndicates of insurer Lloyd’s of London for a loss claim they filed just two days after Kanye checked into a psychiatric center. More than eight months later, Ye and VGT have yet to be paid.
The lawsuit, which was filed on Tuesday in Los Angeles Superior Court, alleges that Lloyd’s of London is stalling on paying out claims emanating from Ye’s canceled Saint Pablo tour, which was canceled after Ye suffered a mental breakdown in November 2016.
Kanye was later admitted to UCLA Neuropsychiatric Hospital Center for an eight day stay. In a sworn testimony from his doctor to the insurance companies, it was confirmed that West was suffering from a medical condition that prevented him from touring.
In the suit, it has been noted that Lloyd’s has questioned the legitimacy of West’s breakdown, “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.”
“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.”
West’s lawyer, Howard King, writes, “Performing artists who pay handsomely to insurance companies within the Lloyd’s of London marketplace to obtain show tour ‘non-appearance or cancellation’ insurance should take note of the lesson to be learned from this lawsuit: Lloyd’s companies enjoy collecting bounteous premiums; they don’t enjoy paying claims, no matter how legitimate.”
“Their business model thrives on conducting unending ‘investigations,’ of bona fide coverage requests, stalling interminably, running up their insured’s costs, and avoiding coverage decisions based on flimsy excuses. The artists think they they’re buying peace of mind. The insurers know they’re just selling a ticket to the courthouse.”
Stay tuned for updates on this case.