Most of them will prefer to sit on the ground when watching the event. They should be sitting in the chairs.
Ideas
There's an old AHQ report for this also mentioning Sims standing around instead of sitting as well as the sitting on the ground.
Are you just seeing them sit on the ground or also not sitting at all ?
They're honestly all over the place. They'll stand up sometimes, sit in a chair, but mostly prefer to sitting on the ground.
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