"When ViacomCBS turned to Great Divide for the promised insurance, ViacomCBS reasonably expected Great Divide to cover its losses," states the complaint filed in California federal court."However, instead of honoring its agreement with ViacomCBS, Great Divide interpreted the governing policy in an overly narrow and wrongful manner.
Great Divide is taking the position that ViacomCBS can only collect on the civil authority coverage, meaning it would be limited to just $1 million arising from how government authorities made it impossible to proceed on hundreds of productions. The dispute also figures to examine how an entertainment company like ViacomCBS chose to respond to the pandemic and how it fits into the language of the policy.and then hold the event virtually, it looked to its insurer for losses incurred. Great Divide asserted that thewas completed and aired and so nothing was owed. ViacomCBS disagrees, saying the virtual show was an entirely different production with a different number of crew, host, format, and performances.