Harry rents a vespa motorbike for one week from Dobby Ltd. The cost for one week is $210. Before he pays, he sees a small sign on the wall near the counter. He does not read the sign as he does not have his glasses on. Instead he decides to take a selfie with the vespa and post it on lnstagram as "#MagicalVespa". The sign on the wall states: \"Late fees: If you return the motorbike later than agreed, you will have extra contractual duties and be liable to pay a late fee of $3000 per day." After taking the selfie, Harry signs a contract and pays with his credit card. Harry does not read the document as he still cannot find his glasses. The document Harry signed contains the following term: "Disclaimer: We are exempt from all liable for any damages due to your own negligence." Harry returns the motorbike one day late and is asked to pay the late fee of $3000. Harry says \"No way. That is a very unusual term and more than the weekly fee! If late, you can just charge a reasonable daily fee or weekly fee. I am not paying that much." Harry also wants to claim damages because the vespa broke down on day 3 and he had to replace the battery which the mechanic said was very old and had a leak. The cost was $500. Dobby Ltd seeks your advice. 1. Is the late fee clause a term of the contract and does Harry have to pay the late fee of $3000? (5 marks) 2. Is the disclaimer part of the contract and does the disclaimer protect the shop? (5 marks) A'BIEEEE9$IEUx2x2iEEQI '3 C' 6 $555 (I) Hermione runs a marketing company and wants to buy a home entertainment system for giving good presentations to clients. She goes to Snape Pty Ltd and explains her needs to the Manager, Severus, who says: "Our most popular system is the Rubeus Home Entertainment System and it is great for impressing clients. But it is a bit expensive at $101,000." After viewing the sample Rubeus model, Hermione tells Severus that it is perfect for her business needs and she will buy it. When Hermione set up the Rubeus system in the office, she was very disappointed as it was very different to what she was shown in the shop. For example, the TV screen is smaller, the speaker sound quality is not as good. When Hermione returns to the shop to complain, Severus tells her that normally she could get a remedy under the ACL but in this case she is not a consumer as the cost is over $100,000 and for business use. Hermione seeks your advice: 1. Is Hermione a consumer under the ACL, and does the ACL apply in this case? (3 marks) 2. Assuming the ACL does apply, are there any consumer guarantees that have been breached under the ACL? [Do not discuss remedies] (5 marks) 3. Was any breach 3 major or minor failure? (2 marks) A'BIEEEE0$3IZQXZXZEEEEEECJI '0 C' Q >