Kanye West's touring company countersued by insurers
The rapper sued syndicates of Lloyd's of London for $10M earlier this month.
-- Syndicates of the insurance company Lloyd's of London and another major insurer responded to a lawsuit filed by Kanye West's touring company, alleging that West's team has not provided enough information for them to investigate his claims.
Earlier this month, West's company, Very Good Touring Inc., filed an almost $10 million lawsuit against a group of insurers, claiming breach of contract and breach of good faith for not paying out a claim after the rapper canceled his 2016 Saint Pablo tour because of a health issue.
In the countersuit, obtained by ABC News, the insurers cited contract language indicating that policies do not cover loss due to undisclosed pre-existing conditions or "the possession or use of illegal drugs," among other things. The countersuit also stated that its underwriters “have not been able to reach a final conclusion (regarding the claim) … as of this date because of the insured’s failure and/or refusal to produce additional information that was requested by Underwriters”. They did not delve into specifics "out of respect for the insured's privacy" and cited a confidentiality agreement.
The claim alleges "substantial irregularities" in West’s medical history provided to insurers and a "failure to cooperate" in the insurers' investigation.
The insurers also claim that the problems that caused the tour cancellation were "not beyond the control" of West and his touring company, and that facts relevant to the investigation were "willfully concealed and or misrepresented."
Howard King, an attorney for Very Good Touring Inc., slammed the counterclaim in a statement to ABC News.
"Lloyd’s counterclaim for declaratory relief is the same generic response Lloyd’s files in all cases when they don’t want to honor a legitimate claim but can’t find a factual basis to deny a claim," he said. "We look forward to the day a jury awards our client the full amount of the policy he purchased, plus interest at 10 percent per annum, along with punitive damages for Lloyd’s bad faith in not paying (or even denying) the claim."
West, who turned 40 in June, was hospitalized for several days last year after displaying what his lawsuit described as "strained, confused and erratic" behavior at his Nov. 16 show in Sacramento. The rapper, the lawsuit noted, was suffering from a "serious, debilitating medical condition," and as a result, was declared in no condition to tour.
In the original lawsuit, attorneys for Very Good claimed that the insurers have not rendered any type of coverage decision, despite "repeated written demands."
"Defendants have, however, suggested that they may deny coverage of the claim on the unsupportable contention that use of marijuana by Kanye caused the medical condition," the lawsuit states. "Defendants have also suggested they would be amenable to compromising the claim, something Very Good refuses to do."
The insurers claim in the countersuit that they have tried to work with West's company and its lawyers, and deny the allegations made against them. The insurers claim in the countersuit that they have tried to work with West's company and its lawyers, and deny that they have implied that West's “use of marijuana provides the sole basis to deny the claim.”
Representatives for Lloyd's did not immediately respond when asked for comment. A representative for Allianz had no comment.