Paramount has reached a confidential settlement with Chubb, its insurer, over claims arising from repeated COVID-19 production delays on ‘Mission: Impossible 7.’
The studio sued in August 2021, alleging that the insurer was trying to limit its losses to just $1 million. Paramount alleged that it was owed far more than that, and that the COVID-19 shutdowns should have triggered a cast insurance coverage with a $100 million limit.
The two sides were set to begin mediation of the dispute on Thursday. But on Wednesday, they filed a notice in federal court indicating they had reached a settlement.
‘A formal written settlement agreement has been prepared and is being commented on and finalized,’ the parties stated. ‘The parties anticipate executing a final written settlement agreement by August 5, 2022.’