All questions in Part A shall be answered. You need to:

1.Understand the facts and the given legal issues around which the case revolves

2.Analyse the relevant law

Apply the relevant law (UK cases can be applied) to each legal issue independ

Under a contract of sale on FOB terms, quantities of teak logs were purchased by the buyer from Brazil to Hong Kong. The buyer also concluded an insurance contract with the insurer and the Institute Cargo Clauses (A) 1982 were incorporated into the policy. The cargoes were packed and stored within the Port of Rio de Janeiro for shipment. However, prior to the shipment, the port encountered a typhoon. Thus, the logs stored in the warehouse were badly damaged. Since the cargoes were packed in the container and the damages were found in the destination.

The buyer, having paid for the goods without knowing of the damages, sought to recover under the insurance policy after he was aware of the loss. The goods were insured warehouse and warehouse and on a "lost or not lost" basis.

(1)However, during the investigation, it was found that the damages occurred were due to the inadequate packing. Analyse whether the insurer shall be liable for the loss in the context of Hong Kong law. (10 marks)