The Settlement Administrator Angeion Group declared on Friday a proposed settlement with various U.S. colleges and universities regarding alleged deceitful methods when awarding financial aid.
The initial proposal consists of ten schools in one instance and 17 in a second. The institutions involve prestigious names such as Yale University, John Hopkins University, and the University of Pennsylvania.
The agreed settlement would require the schools to pay $284 million to students who were enrolled full-time in an undergraduate program at an institution and received financial aid between 2003 and 2024.
The lawsuit claimed that the schools colluded to create financial aid formulas, contrary to antitrust laws, resulting in students receiving less support than if there was no collusion by the schools.
The schools have contended that the plaintiffs have no basis and rejected the accusations.
The settlement group stated, “Payments for claims will vary depending on a number of factors. Assuming that about half of the estimated 200,000 Class members submit timely claims (at a later date), and that the Court awards the attorneys’ fees and costs as requested, the average claimant will receive about $2,000 from these Settlements.”
Those impacted by this lawsuit will be able to submit a claim to receive the funds several months after the court fully approves the settlement.
