Intended use or function? Efficacy clause interpreted by the High Court in Selected Seeds Pty Ltd v QBEMM Pty Ltd

In Selected Seeds Pty Ltd v QBEMM Pty Ltd, 1 an appeal from a decision of the Queensland Court of Appeal, 2 the High Court of Australia has examined and interpreted the wording of a broadform liability policy held by the appellant, Selected Seeds Pty Ltd (Selected Seeds). That insurance was underwritten by QBEMM Pty Ltd (QBE) and contained an efficacy clause arising from or caused by “the failure of any Product to correctly fulfil its intended use or function”.