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This sounds like ‘fit for purpose’. If you speak to your state Business and Consumer Affairs Office they should be able to provide some help getting out of your lease.

I don’t think they will be able to assist in damages, you will need a lawyer for that.

I’m not a lawyer but have assisted in this type of thing before, if you can

a) prove your initial device requirements that were sent to the vendor, with your intended usage and what the machine has to do for your business, then

b) based on these requirements obtain paperwork from the manufacturer that the device is unsuitable

If you get both the above you can show the vendor incorrectly recommended an unsuitable device. Their recommendation is unsuitable (as proven by manufacturer) and therefor vendor should be liable/responsible.

As I said, I’m not a lawyer , seek professional advice. But this might help.