I'm not a lawyer and I'm not about to tell people what is and what is not legal based on my opinion. With that said, I hope people will read the above legal statement on live streaming that is written by a lawyer. It does not say live streaming boils down to commercial versus private usage as you do, and in fact specifically states many times "whether for commercial or private use...." Here's what I will say with confidence about any corporation, they are going to cover their butt in legal matters. They are going to tell people not to do it, one because they don't want to be pulled into a law suit and two, when Suzie starts whining "but, big 'ol bad corporation didn't tell me I couldn't" they can pull out their policy.
If I can be sued because I didn't have permission to live stream the art work that happened to be on the wall in the background, I call that "a different beast". I'm failing to see what this has to do with Grandma Josephine, Grandpa Ed or their financial status when you are still allowed to video and share it with them.
ETA: I also want to point out the above post written by a lawyer states that many of the laws that apply to live streaming apply to commercial video, as well, which is exactly what Varsity's new policy is dealing with.