Business Development Corporation of Georgia, Inc. v. Hartford Fire Insurance Company

R. LAINIER ANDERSON, III, Circuit Judge:

In this diversity action, cross-motions for summary judgment were filed, and the district court ruled in favor of the insurer. We reverse and remand for further proceedings.

I

Appellant Business Development Corporation of Georgia, Inc. (“BDC”) loaned $100,000 to Chatsworth Rubber Products, Inc. (“Chatsworth”), and took a security interest in certain equipment and other personalty owned by Chatsworth. At the time of the loan, Chatsworth obtained an insurance policy from appellee Hartford Fire Insurance Co. (“Hartford”) to cover the collateral for BDC’s…