This section applies to a contract that provides for the payment of regulated course fees to an institution, by a qualifying person and in connection with the person’s undertaking a qualifying course, that exceed the applicable fee limit.

For the purposes of any rights and liabilities arising under the contract, and any proceedings in respect of those rights and liabilities, the contract is to be treated as providing for the payment of fees in an amount equivalent to the applicable fee limit.

Except as provided in subsection (2), the contract is not void or unenforceable in consequence of providing for the payment of fees exceeding the applicable fee limit.