(External Administration) Fixit Pty Ltd has supplied goods, to the value of $5,000, on credit to Breakit Pty Ltd on condition that Fixit is paid within 30 days of delivery. 60 days have past and Fixit has still not received payment, despite sending many email reminders to Breakit. The director of Fixit phoned the director of Breakit and was told that the cheque was in the mail. That payment is now 90 days overdue and the cheque never arrived.

(a) Advise Fixit of its legal options under the Corporations Act; and

(b) Assume that Breakit has returned goods to the value of $4,000 to Fixit as the goods were faulty. Will this make a difference to your answer in part (a)?