The appellant, acting as receiver for a yacht manufacturer, appealed the dismissal of its insurance claim against the respondent export credit insurer.
The manufacturer had not been paid for boats delivered to a U.S. dealer and to Spain.
The dealer refused to pay because the manufacturer's receivership meant it could not fulfill warranty obligations.
The Court of Appeal upheld the trial judge's finding that while the loss fell within the policy's initial coverage, the insurer successfully proved that an exclusion applied because the buyer did not pay due to a legitimate dispute regarding the export contract.
The appeal was dismissed.