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Water based paint or moisture in wood caused/pulled the tannins(oils) out of the wood should have been sealed/primed well first to block them apply shellac or good blocking primer over the paint then repaint https://www.franklinpainting.com/blog/home/tannin-staining-on-cedar-siding/
There is a problem with the deckover products. They are known to crack and peel within two years. Hard to remove. Many Hometalkers have used them and regret it and have mention their misfortunes in discussions. Many people had o replace deck boards and even complete decks. There are class action lawsuits against the manufacturers. Also notice they are not advertised anymore. You can do some online research and find more cons than pros. I have been advising Hometalkers not to use the products and to spread the word. Some have tried scraping and sanding with fair results.
Lots of law firms with class action lawsuits. You can file.
https://www.google.com/search?source=hp&ei=sAzPXImpCavh0gLw6Jr4Bg&q=class+action+suit+against+deck+over&oq=class+action+lawsuits+against+deck&gs_l=psy-ab.1.1.0i22i30l8.1231.26953..36793...0.0..0.214.4942.0j33j1......0....1..gws-wiz.....0..0i131j0j0i10.6apZ9BCmJRQ
Yikes Val: If it's the Valspar brand, I'd either go to the store and talk to the guys at the paint area or call the number on the can and tell whomever knows stuff there what happened and ask them for a solution. Better to go to those who know:) In the mean time, go to Lowes site and look up your product and check the ratings, reviews, questions, and specifications to see if there is any help there. Good luck
What is the actual brand on the can label?
Was there any other product previously put on the deck wood?