Spawning clients

I am looking at Multiplayer Shootout example and player character spawning is not clear to me. I expect that each client calls GameMode’s RespawnPlayerEvent. But when I try to debug, I can’t see that client ever calls that event. I guess it’s because client doesn’t have GameMode since it only exists on server, so target for RespawnPlayerEvent is always null.
How is that possible, when each client does get it’s player spawned? What is even more confusing is that, any function/event called after RespawnPlayerEvent, in MyPlayerController, doesn’t get executed.

Is this a bug or I am missing some piece of the puzzle?