Requirements of VET funding contracts for the benefit of students
3.1.6 Requirements of VET funding contracts for the benefit of students
This section applies to a student if—
the student is of a class of students of government-subsidised vocational education and training that is expressly specified or referred to in a VET funding contract as a class of students to which the contract extends; and
the contract expressly provides that a performance requirement of the contract confers a benefit directly on that class of students; and
the student incurs a loss arising from a breach of, or failure to comply with, that performance requirement; and
the loss incurred by the student is a direct or foreseeable consequence of that breach or failure to comply.
(2) If subsection (1) applies, the performance requirement of the VET funding contract is enforceable by the student in his or her name against the contractor who is a party to the contract even though the student is not named as a party to the contract.
A contractor who is a defendant to an action or proceeding in respect of a VET funding contract taken by a student referred to in subsection (1) has all the defences that would have been available to the contractor as a defendant had the student been named as a party to the contract.
In this section, performance requirement means a provision of a VET funding contract that specifies a performance requirement for vocational education and training that is expressed to be for the benefit of a class of students of government-subsidised vocational education and training.
New s. 3.1.7 inserted by No. 73/2012 s. 10.
This Act’s bill:Explanatory memorandumSecond reading speech
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