Gary owns a macaroon bakery which sells macaroons over the counter to customers in the local area. To supplement his income, he does a catering business on the side and supplies celebratory functions of close friends and family with macaroons. On the premises, is a special machine which assists with production of large-scale quantities of macaroons. This machine is a rather expensive one and Gary only has one of these machines.

In the week before Christmas, the machine breaks down. Gary contacts the Australian repairer of the machine, RepairsGalore Pty Ltd, who informs Gary that they will pick up the machine for repairs at 3 pm the next day. Gary informs the repairer that this is the only machine he had and that he will not be able to keep up with his orders during the Christmas period, if it was not delivered back within the next 3 days. The repairer assures Gary that would not be an issue.

Unfortunately, RepairsGalore Pty Ltd was short on staff due to staff redundancies and hence, was unable to start on the repairs until three days after it had picked up the machine. The repairer rings Gary and informs him that the work will only be completed in another week's time. Gary attempted to hire out a machine from his usual supplier but as the machine was not able to produce as many macaroons as his usual machine, he suffered $3000 worth of loss of sales during the Christmas period.

In addition, Gary suffered significant loss of revenue amounting to $10,000, as a result of not being able to fulfil two catering contracts for his close friends Joe and Tom. RepairsGalore Pty Ltd had not been informed about these two catering contracts.

As a result of the dismal situations he found himself in, Gary decided three months after suffering the above losses that he would negotiate the purchase of a new machine from an alternative supplier, Cavendish Pty Ltd. Leading up to the purchase of the machine, the sales representative assured Gary of the superior production capabilities of the machine. He said the machine was capable of producing at least 200 macaroons at a time, that the macaroons would be firm, would be consistently shaped with perfection and that it needed to be serviced just once every six months.

Gary purchased the machine and found after five months of use that the machine was only capable of producing 150 macaroons for the day with superior quality but that subsequent batches were not passing the quality assurance test in terms of firmness and consistency in shape.

He approached the supplier indicating the losses he had suffered as a result of the promises about the capabilities of the machine being untrue. The sales representative simply replied, "Sorry- We can't help you. You did sign the written contract on the day you agreed to purchase the machine and these promises are not outlined anywhere in that contract. You have no rights." Gary is furious.

Please answer the below questions based on the above facts:

(a) Advise Gary as to his ability to claim all of his losses as against RepairsGalore Pty Ltd under contract law.

(8 marks)

(b) Advise Gary as to how he could sue for the false promises made to him by the sales representative from Cavendish Pty Ltd before he signed the written contract even though these promises are not in the written contract? Discuss at least 2 arguments in your answer.

(5 marks)

(c) Explain how your answer would be different under (b) if RepairsGalore had been affected by an unexpected lockdown due to a pandemic and hence, was unable to complete the repairs on time.

(2 marks)