My Australian course was cancelled: what must the provider do within 14 days under the ESOS Act (2026)?
Under ESOS Act s 46D, a provider in default has 14 days to place you or refund unspent tuition fees — here is what actually satisfies that duty.
If your provider stops delivering your course and that amounts to a "default", the Education Services for Overseas Students Act 2000 (the ESOS Act) gives the provider 14 days from the default day to discharge its obligations to you — either by arranging an alternative place that you accept in writing, or by refunding your unspent tuition fees. That is the effect of s 46D, read with the definitions in s 5, the placement service in s 49 and the offence provision in s 46E, as published on the Federal Register of Legislation — Education Services for Overseas Students Act 2000, as at September 2026. This article explains how those pieces fit together and where your legal position sits; it is general information about how the Act operates rather than advice on your own enrolment, so anything turning on your particular facts should be checked against the current official text or with a practitioner who can advise you personally.
When does the 14-day clock actually start?
Two conditions have to be met before s 46D applies at all. Under s 46D(1), the section applies only where a registered provider defaults in relation to an overseas student or an intending overseas student, and a course at a location. Once it applies, s 46D(2) requires the provider to discharge those obligations "within the period (the provider obligation period) of 14 days after the default day".
The default day is not the day you were told, or the day the email landed. Section 5 fixes it by reference to which provision the default arises under:
| Where the default day is set by… | the default day is… |
|---|---|
| 46A(1)(a)(i) or 47A(1)(a) | the agreed starting day |
| 46A(1)(a)(ii) | the day on which the course ceases to be provided |
| 47A(1)(b) | the day on which the student withdraws from the course |
| 47A(1)(c) | the day on which the registered provider refuses to provide, or continue providing, the course to the student |
Two points follow from that. First, the row that applies depends on the provision the default arises under, and the operative wording sits in ss 46A and 47A rather than in the table above. Second, "agreed starting day" is itself defined: it means the day the course was scheduled to start, or a later day agreed between the provider and the student. A start date formally deferred by agreement therefore moves the clock.
It is also worth knowing that s 5 gives "provider obligation period" the meaning given by s 46D, 47D or 47E, as the case requires. The 14-day period discussed here is the one created by s 46D.
What does the provider have to do — and is an offer on its own enough?
Section 46D(3) sets out two complete routes, and neither is satisfied by effort or intention:
- Route 1 — placement. Under s 46D(3)(a), both of the following must apply: the provider arranges for you to be offered a place in a course in accordance with s 46D(4), and you accept the offer in writing (s 46D(5)).
- Route 2 — refund. Under s 46D(3)(b), the provider provides a refund in accordance with s 46D(6).
The word doing the heavy lifting in Route 1 is "and". A provider that sends you a list of other courses has not discharged anything yet. Until a written acceptance exists, Route 1 is incomplete and the 14 days keep running.
Assume a student whose course ceases to be delivered, and whose provider puts forward an alternative place on day 10. If the student never accepts in writing and no refund is paid by day 14, s 46D(3) has not been satisfied — the provider has done something, but it has not discharged the obligation.
What must the alternative course offer look like?
Section 46D(4) says the provider may arrange for you to be offered a place in an alternative course at the provider's expense. The cost of arranging that place is the provider's, not yours. An offer that only works if you pay a fresh enrolment fee, or that leaves you covering a shortfall, is worth reading closely against that wording, because s 46D(3)(a)(i) requires the offer to be made "in accordance with subsection (4)".
Note also that the section does not require the alternative course to be at the same provider, at the same level, or in the same city. Those questions are left outside s 46D(4) itself; the criteria for what counts as a suitable alternative course are dealt with separately in s 49(6), discussed below.
How is the refund amount worked out?
Section 46D(6) permits the provider to pay a refund of "any unspent tuition fees received by the provider in respect of the student", with the amount worked out in accordance with any legislative instrument made under s 46D(7). That is deliberate: the calculation method is not fixed in the section. Under s 46D(7), the Minister may, by legislative instrument, specify a method for working out the amount of unspent tuition fees, so the method that applies is the one set out in the instrument in force at the time.
A note to s 46D(6) adds that, for providers required to maintain an account in accordance with s 28, the refund might be paid out of that account (see s 29).
Do I have to accept whatever alternative course is offered?
No. Section 46D(5) is permissive — the student "may accept, in writing". Acceptance is your decision, not a duty you owe the provider.
The consequence of declining is mechanical rather than punitive: saying no closes Route 1, which leaves the provider needing to complete Route 2 within the same 14 days. And if you do want the place, remember that the written acceptance is the hinge on which Route 1 turns. Without it, nothing has been discharged.
What happens once the 14 days run out?
This is where the TPS Director comes in. Under s 49(1), the student placement service applies if the TPS Director determines that:
- a registered provider has defaulted in relation to an overseas student or intending overseas student and a course at a location; and
- either the provider has failed to discharge its s 46D obligations by the end of the provider obligation period, or the provider is unlikely to be able to discharge them by the end of that period.
The second limb matters: the TPS Director does not have to sit out the full 14 days before stepping in.
Where that determination is made, s 49(2) requires the TPS Director to give you, in writing, one or more options for suitable alternative courses, if any are available. Under s 49(3), if the provider of one of those courses offers you a place, you may accept it — and a note confirms that a call is made on the Overseas Students Tuition Fund (the OSTF, established under s 52A) to pay the provider of the alternative course, under Division 4.
Your acceptance then has its own deadline. Under ss 49(4) and 49(5), the acceptance must be in writing and made within 30 days after the end of the provider obligation period — unless the TPS Director determines that exceptional circumstances apply, in which case the period can be a shorter one determined in writing, or a longer one determined in writing and agreed to by you.
Keep the two clocks separate: 14 days is the provider's deadline to discharge; 30 days is your window to accept a placement offered through the TPS process, and it runs from the end of the provider obligation period.
Finally, s 49(6) allows the Minister to specify, by legislative instrument, the criteria for deciding whether a particular course is a suitable alternative course for the purposes of the Act.
What does the provider risk if it does neither?
Section 46E creates an offence. Under s 46E(1), a person commits an offence if the person is a registered provider (or, where the provider is an unincorporated body, the principal executive officer of the provider — defined in s 5 as the person with executive responsibility for the operation of the provider), the person defaults in relation to an overseas student or intending overseas student and a course at a location, and the person fails to discharge its obligations to the student in accordance with s 46D. The penalty is 60 penalty units.
Three features make this more than a paper threat:
- Strict liability. Section 46E(2) makes the offence one of strict liability, with a note pointing to s 6.1 of the Criminal Code. In plain terms, the focus is on whether the obligation was discharged, not on what the provider intended.
- It continues. Under s 46E(3), the maximum penalty for each day the offence continues is 10% of the maximum penalty that can be imposed for the offence. A note records that s 46E(1) is a continuing offence under s 4K of the Crimes Act 1914.
- Losing registration does not end it. Section 46E(1)(c) applies "whether or not the provider is still a registered provider at that time".
The note to s 46D(2) also lists the wider consequences of a breach: s 46E, Division 3 (student placement service), Division 4 (calls on the OSTF), and Division 1 of Part 6 (conditions, suspension and cancellation).
Who is covered by these rules?
Section 5 defines the people the Act protects. An overseas student is a person, whether within or outside Australia, who holds a student visa — excluding students of a kind prescribed in the regulations. An intending overseas student is a person who intends to become, or has taken any steps towards becoming, an overseas student. An accepted student of a registered provider is someone who is accepted for enrolment, or enrolled, in a course provided by the provider, and who is or will be required to hold a student visa to undertake or continue the course.
Section 46D(1) refers to both overseas students and intending overseas students, so the duty can arise before a course has begun, not only after it has stopped.
What to look for in the paperwork you receive
The provisions above translate into a short list of things worth checking in whatever the provider sends you:
- which day is being treated as the default day, and whether an agreed later start date has been taken into account;
- whether any placement offer is in writing, is for an alternative course, and states that it is arranged at the provider's expense;
- whether your written acceptance has been requested and recorded — Route 1 is not complete without it;
- whether any refund is described as unspent tuition fees, and which method was used to work out the amount;
- which deadline you are actually being given — the provider's 14 days, or the separate 30-day window for accepting a placement offered through the TPS process.
Because the refund method and the suitability criteria are both left to legislative instruments, the figures and the course options in any particular case depend on instruments that can change; the current official text is the only reliable check.
Frequently Asked Questions
Does the 14 days start on the day I found out my course was cancelled?
Not necessarily. Section 46D(2) runs the period from the default day, which s 5 defines by reference to the provision the default arises under — the agreed starting day, the day the course ceases to be provided, the day the student withdraws, or the day the provider refuses to provide or continue providing the course. If your start was formally deferred by agreement, the agreed starting day is that later day.
Is an offer of another course enough to satisfy the provider's duty?
No, on its own. Section 46D(3)(a) requires both that the provider arranges the offer in accordance with s 46D(4) and that you accept it in writing under s 46D(5). Until there is a written acceptance, the placement route is incomplete and the 14-day period continues to run.
Can the provider ask me to pay for the alternative course?
Section 46D(4) describes the arrangement as one made "at the provider's expense", and s 46D(3)(a)(i) requires the offer to be made in accordance with that subsection. An offer that depends on you paying additional fees is worth checking against that wording before you treat it as discharging anything.
How is the refund amount calculated?
Section 46D(6) refunds unspent tuition fees received by the provider in respect of the student, worked out in accordance with any legislative instrument made under s 46D(7). The Minister may specify the calculation method by legislative instrument, so the method itself is not set out in the section.
What if the provider has already closed or lost its registration?
That does not end the exposure. Section 46E(1)(c) applies "whether or not the provider is still a registered provider at that time", so the failure to discharge can still found an offence. Section 49 can also be triggered where the TPS Director determines the provider is unlikely to be able to discharge its obligations by the end of the obligation period.
How long do I have to accept a placement offered through the TPS process?
Under ss 49(4) and 49(5), your acceptance must be in writing and must be made within 30 days after the end of the provider obligation period. If the TPS Director determines that exceptional circumstances apply, that period can be shortened in writing, or extended in writing with your agreement.
What penalty does a provider face for failing to discharge?
Section 46E(1) sets a penalty of 60 penalty units, and the offence is one of strict liability under s 46E(2). Under s 46E(3), the maximum penalty for each day the offence continues is a further 10% of the maximum penalty for the offence, and a note identifies it as a continuing offence under s 4K of the Crimes Act 1914.
References
- Federal Register of Legislation — Education Services for Overseas Students Act 2000, s 46D Obligations on registered providers in case of provider default
- Federal Register of Legislation — Education Services for Overseas Students Act 2000, s 5 Definitions
- Federal Register of Legislation — Education Services for Overseas Students Act 2000, s 46E Offence for failure to discharge obligations
- Federal Register of Legislation — Education Services for Overseas Students Act 2000, s 49 Student placement service