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The lord wants to know why Gawain can't stay a little longer. Gawain tells him he has some urgent business, and asks the lord to help him find the Green Chapel by New Year's Day.
(By the way, at this point Gawain only has three days before he's supposed to meet the Green Knight.)
Gawain is in luck. The lord knows exactly where the Green Chapel is (it's only about two miles away), and he promises to bring Gawain there on New Year's Day. In the meantime, he says that Gawain should hang around his castle.
Gawain is very relieved and promises to stay with the lord.
The lord is happy and says that Gawain needs to rest from all of his travels. He proposes a little game. Tomorrow, Gawain should lounge around all day with the lady to keep him company. Meanwhile, the lord will go hunting. At the end of the day when they meet up again, they'll exchange what they've won over the course of the day.
Gawain agrees, and they drink on it.
He's impressed at how the lord really knows how to have a good time.