In Brief
An exporter obtained insurance from the Export Credit Guarantee Corporation (ECGC) to cover export shipments. When a foreign buyer failed to pay after shipments were made, and the collecting bank improperly released documents without securing payment, both the State and National Consumer Commissions ordered ECGC to pay the exporter's claim. ECGC appealed, arguing an exclusion clause relieved it from liability for bank defaults applied. The Supreme Court allowed the appeal on the law but, finding the exporter innocent and using its Article 142 powers, directed that ECGC make no recoveries from her—clarifying that a separate guarantee to a lender does not admit liability under the distinct insurance policy to the exporter.</summary_100> </invoke>
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