Why do dealers give the 7th card face down when 2 players are all in in any Stud game?
One thing to remember is that unless this is a home game the dealer is dealing to 3 party's at all times the player, the supervisor and survalenceAlso because the rule says that the river card is dealt face-down... proper is proper.
Also, doing it properly avoids confusion for a floor person that might be watching from afar, or the eye in the sky, who may miss the fact that they're all-in, and think they've just seen a dealer error. They'd probably realize in a moment, but why cause unnecessary reactions?
Its kind of like, why does the dealer deal out the turn, river, or both in holdem when the players are all-in and 1 is drawing dead.
Because the player is not technically drawing dead.
If player 1 has quad aces and player 2 has a pair of 2's then player 2 is drawing dead true, but if the dealer produces a 5th Ace on the turn or river or any card that shows that the integrity of the deck was compromised then the hand is disqualified, and all monies returned. (highly unlikely) but they still run the precaution.
A dealer at a casino would also never say someone is drawing dead, or announce someone holds the nuts. They would simply proof the hand that wins against the losing hands, muck the losers, push the pot then muck the winner.