You'll have to explain that more, ReloadMaster.
From what it sounds like:
You were not the Master Looter. The Master Looter tried to give you a item, but your inventory was full.
The rest I don't understand.
After he had tried to give it to me.
I had to throw something to get a free slot and loot the item myself but when I tried looting it and clicked the item I just got the "Give to" or something but no options to choose from.
Gonna try getting a screenshot today.
The Corpse was then blinking for me (showing me it's got loot for me) and after opening it, I saw the Loot, the XLootMaster PopUp-Menu appeared and WoW froze to death. No Reaction anymore... this happened twice at the same loot/corpse. Had to disable XLootMaster to finally get the loot myself (and I was'nt even LootMaster in the Party).