Category Archives: Private Career Colleges

Thomas Jefferson School of Law Faces Class Action for Misrepresenting Employment Statistics

May 28th, 2011

Why do students take on over $100,000 in student loan debt to attend law school? Because lawyers are paid enough to pay it back. But what if your law school lied to you about the percentage of students who are gainfully employed after graduation? If a law school says 99% of its students obtain employment within six months of graduation, but that number is either wrong or calculated in a manipulative fashion, could the law school be liable for fraud or negligent misrepresentation?
A recent lawsuit accuses Thomas Jefferson School of Law of exactly this. Frankly, it is surprising that more lawsuits making similar accusations have not been filed against other law schools. The National Law Journal covers the story here.

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Obama’s For-Profit College Rules Questioned by Members of Both Parties

May 27th, 2011

Months after Congress passed legislation designed to curb abuse by for-profit colleges, a broad coalition of both parties is questioning the Department of Education’s implementing regulations. The lawmakers are suggesting that the regulations go to far and make it virtually impossible for the for-profit college industry to survive.
Fox News has the story here.
Sarelson Law Firm, P.A. has been representing students and employees against various for-profit colleges throughout the United States.

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GAO Sued for Professional Malpractice by Private For-Profit College Industry

February 5th, 2011

gao-logo.pngThe private, for-profit college industry is fighting back. Amid allegations that the General Accounting Office (Congress’ non-partisan research arm) botched an investigation that led to a false and defamatory report, the Coalition for Educational Success (a trade organization for the industry) filed a lawsuit against the GAO.
The GAO is being accused of only “professional malpractice” under the Federal Tort Claims Act. This is a novel idea, but probably won’t go anywhere. The GAO has no common law duty to the companies it investigates. (Perhaps it should, but the blog is unaware of any existing obligation). Nor does the Complaint allege what state law applies.
The lawsuit seeks money damages only. But trade organizations are generally not able to seek money damages on behalf of their members — the members would have to sue directly. Normally a trade organization files suit only for declaratory or injunctive relief.
The Complaint (along with the GAO report) is here:
Coalition Sues GAO
It appears that the lawsuit was filed for political reasons to push the GAO to change its scathing report. Sarelson Law Firm has been active representing students of private, for-profit colleges and will be following this lawsuit closely.

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