Fibrespinners only required, and could only be granted, exemption from liability for any loss or damage caused by unintentional unlawful conduct: that is, for any loss or damage caused by its breach of contract or by negligence on its part or the part of its employees. It was that exemption which the widely worded clause sought to achieve and those risks that the stipulated insurance sought to cover. As to the government's contention that there was no justification for so restricting the plain meaning of the words of the exemption clause as contended for, the court determined that there was also no reason of public policy why it should be held that, in so far as the clause referred to loss or damage caused by Fibrespinners' gross negligence, it was not enforceable. The decision in the Durban and Coast Local Division, in "Government of the Republic of South Africa (Department of Industries) v Fibre Spinners & Weavers (Pty) Ltd" was thus confirmed.