Landmark Settlement Approved in Class-Action Lawsuit Against Walden University Over Alleged Targeting of Black and Female Students
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October 17, 2024
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Landmark Settlement Approved in Class-Action Lawsuit Against Walden University Over Alleged Targeting of Black and Female Students
The $28.5 million settlement leaves intact the court's determination that "reverse redlining" claims are permissible in a higher education context and ensures closure for those who suffered, future student protections, and institutional accountability.
In a historic development, Relman Colfax PLLC and the National Student Legal Defense Network have announced the approval of a $28.5 million settlement in the class-action lawsuit against Walden University on behalf of the brave Black and female students enrolled in the university’s Doctor of Business Administration (DBA) program. This legal battle, initiated on behalf of former DBA students, alleged predatory recruitment practices that disproportionately targeted Black and female students in violation of consumer protection and civil rights laws, including Title VI of the Civil Rights Act of 1964 and the Equal Credit Opportunity Act.
The Court entered an Order preliminarily approving the Settlement and Settlement Agreement in April 2024, and a Fairness Hearing was held on October 17, 2024. The settlement provides not only financial restitution to class members, but also marks a pivotal moment in safeguarding students' rights across the nation.
The lawsuit claimed that Walden misled students about program requirements, forcing them to complete more credit hours than advertised, leading class members to pay over $28 million dollars in excess tuition and fees. Plaintiffs also alleged that Walden targeted Black and female prospective students by advertising in communities with a higher portion of Black residents and tailored its ads to appeal to Black and female students.
Because of the hundreds of students who came forward and demanded accountability through the lawsuit and settlement, Walden University has agreed to significant monetary relief and make meaningful programmatic changes. The approved settlement addresses significant predatory and discriminatory practices in the for-profit education industry by providing millions of dollars to the over 2,000 class members. In addition, Walden will make new disclosures on median time to completion and median costs on its website. Walden has also eliminated the University Research Reviewer (URR) Role on Dissertation Committees and agreed that it will maintain the programmatic change for at least 4 years.
Alexa Milton, Attorney at Relman Colfax, stated, “We hope this approval helps close the chapter for those who suffered, while also becoming a guidebook for all for-profit universities. This settlement underscores why reverse redlining is not only illegal but incredibly harmful, serving as a critical lesson for the higher education community."
Aaron Ament, President of Student Defense, said, “Walden claimed to promote diversity, but instead they were practicing deception. Finally, these students can start to move beyond the immense harm Walden caused. We hope that the settlement's reforms will not only protect future Walden students but also set a much-needed precedent for better college recruitment nationwide."
The courage and tenacity of the four named plaintiffs, Aljanal Carroll, Claudia Provost Charles, Tiffany Fair, and Tareion Fluker, were instrumental in this landmark case, serving as a resounding call for accountability and fairness in education. Their actions have paved the way for a more equitable educational landscape.
"This landmark settlement is a significant step towards paving the way for educational reform and I am incredibly fortunate to have been on this journey, fighting for a better future for all, alongside my fellow plaintiffs. They are all incredibly strong, educated, and brave women with whom I am proud to align myself. Together, we have advocated tirelessly against racial and gender injustices in the education system. I am thankful for their solidarity, support, and strength," said Tiffany Fair.
"I’m grateful to be nearing the end of this journey and hopeful for a successful outcome. My experience at Walden highlights the urgent need for reforms within for-profit educational institutions to better protect students from financial exploitation and to uphold academic integrity," said Dr. Tareion Fluker.
“Never take any wooden nickels! Go for what you know!” said Aljanal Carroll.
“A Wrong Has Been Righted and HER-Story Has Been Made!” said Claudia Provost Charles.
The closure of this chapter represents a new beginning for other universities to learn from the consequences of reverse redlining and to recognize the legal repercussions of these harmful practices.
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