SMG was a frozen-poultry wholesaler, and Sanderson was one of the suppliers. SMG contracted to sell 24 containers of frozen poultry to KVADRO, a Russian company. The shipping terms were CIF (cost insurance and freight). In connection with the business, SMG acquired a one-year, open-cargo insurance policy from Lloyd's. SMG arranged for shipment to Russia though P & O Nedlloyd. In April, the Russian government suspended all previously issued permits for the import of poultry into Russia from the United States. Due to this and the change of the city to which the poultry was to be shipped, the shipment violated the 60-day rule and was subsequently seized. After the investigation ended, the shipment was released, but before it was picked up, it was seized again and SMG never received payment. SMG then led a claim against the insurance policy with Lloyd's, which was rejected. Nedlloyd and SMG then sued each other, seeking freight charges and damages, respectively. Nedlloyd subsequently added Lloyd's to its suit, claiming to be a third-party beneciary. Lloyd's moved for summary judgment because Nedlloyd was not an intended third party, SMG had no insurable interest at the time, Lloyd's policy did not cover credit risk, and seizure by customs was excluded from the contract. A summary judgment was issued by the district court, claiming SMG had no insurable interest and Nedlloyd was not an intended beneciary. The ruling was appealed by SMG. Does SMG have insurable interest?