Reference no: EM13858056

Mary was a well known real estate agent practicing in Melbourne. She was approached by Mike, a wealthy investor from Sydney who wished to build an "up market" commercial complex in the inner suburbs. Mike explained to Mary that he was from ‘out of town' and knew little about social character of the suburbs. He pointed out to Mary that he was particularly concerned about the image of his new premises and that he wanted to attract only the best firms as tenants.

Mike asked Mary what the level of crime was like in the area. Keen to impress Mike and get his business, Mary she didn't think it was any better or worse than anywhere else in Melbourne but she would check it when she had the time. Mary forgot to do so, as in addition to her real estate business, she was honorary president of the local Neighbour Watch committee, a community group devoted to crime prevention.
Soon after completing his commercial complex, Mike's premises were plagued by a rash of attacks of vandalism by the Kelly Gang, a gang that had long ran a protection racket in the area and had been a major concern to local police. Graffiti in particular was and had been for a long time a major problem, and it became impossible for Mike to let his premises to commercial tenants. Eventually Mike, unable to attract tenants to the complex, was forced to sell at a substantial loss.

Advise Mike as to how, and from whom, he might seek damages for his loss, and why. Be sure to quote authorities.