Sale of Goods Act- Claim Damages

Hi,

Require assistance to the following Sale of Act case...

XYZ is a private company incorporated in Singapore and is the supplier of certain machinery to customers in Singapore and the region. ABC LLP, a Singapore limited liability partnership, is one of XYZ’s numerous customers. Recently, ABC claims that an item of machinery supplied is not in conformity with the contract. Shortly after ABC’s employees use the machinery, it starts to vibrate badly and is unfit for the purpose for which it is bought.
ABC wishes to return the machinery but at XYZ’s suggestion, the machinery is taken back with a view to investigation and possible repair by XYZ. A week later, XYZ informs ABC that the machinery is ready for collection but refuses to reveal what the problem is and what has been done to repair it, notwithstanding the many teleconversations that have taken place between the parties. ABC’s request for a clean engineer’s report is also ignored. The machinery appears to function perfectly after the repairs but XYZ is frustrated by the lack of information with which to make an informed choice whether or nor to accept the machinery. ABC decides to reject the machinery and asks XYZ for the price back as well as damages for loss of profits due to work interruptions when it was undergoing repairs. XYZ refuses to do so, stating that the machinery has been repaired to “factory gate specification” meaning that the effect of the repair is to make it as good as it would have been if it had left the factory as a new, non-defective machine. XYZ contends that ABC is therefore obliged to accept and there is no valid ground for rejecting it. If ABC persists with their claim, then XYZ will counterclaim for the costs of repair.

a. Assess the legal issues raised by the above dispute and the merits of the arguments and counter-arguments that may be advanced by the respective parties.
b. Is ABC bound to accept the repaired machinery which now conforms to the contract or can they still reject it?
c. Would an undertaking from XYZ (before the machinery is taken away) to reveal the nature of the defect and what has been done to repair it make any difference to the legal position?
d. What other contract terms would you propose in order to prevent similar potential legal disputes from arising?


Thanks...

The question looks academic and normally the lawyers cant respond to those school matters unfortunately. Others may...