The appellant rented a truck to transport a machine, which was damaged in a motor vehicle accident.
The appellant sought compensation from the truck lessor's insurer.
The insurer denied coverage, and the motion judge dismissed the action, finding that the policy excluded coverage for property carried in the vehicle.
The Court of Appeal allowed the appeal, holding that the direct compensation for property damage provisions under s. 263 of the Insurance Act applied, treating the lessee as a third party.
The court further held that exclusions in the rental agreement and any misrepresentation of the cargo did not limit the appellant's right to recover under the statutory scheme.