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In a significant development, Brown, Yale, and Columbia universities have collectively agreed to pay $62 million to settle a lawsuit accusing them and other prestigious institutions of favoring wealthy applicants. This latest settlement brings the total payouts in the case to a staggering $118 million.
New Settlements Revealed in Class Action Lawsuit
Lawyers representing a proposed class of hundreds of thousands of current and former U.S. college students disclosed the latest settlements in a filing made late Tuesday in a federal court in Chicago. The lawsuit, initiated in 2022, alleged massive tuition overcharges, claiming a violation of U.S. antitrust law by the University of Chicago and Vanderbilt, which had already reached settlements earlier.
Allegations of Unfair Practices
The plaintiffs argue that the accused universities conspired to restrict financial aid, violating a pledge not to consider students’ finances in the admissions process. This alleged violation was said to give an unfair advantage to wealthy students. Despite the settlements, all the accused schools, including those that have agreed to pay, have consistently denied any wrongdoing.
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Breakdown of Settlement Amounts
Yale and Emory have committed to pay $18.5 million each, Brown agreed to a settlement of $19.5 million, and both Columbia and Duke are set to pay $24 million each. Notably, the amount of Vanderbilt’s settlement remains undisclosed. The University of Chicago, the first school to settle, had announced its intention to pay $13.5 million.
Ongoing Lawsuit and Remaining Defendants
The lawsuit, not yet approved by U.S. District Judge Matthew Kennelly, who declined to dismiss it in 2022, still involves ten remaining defendants. Cornell University, the University of Pennsylvania, and Georgetown University have yet to resolve their legal standing.
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Calls for Resolution and Denials
One of the plaintiffs’ lawyers, Robert Gilbert, issued a statement urging leaders of other educational institutions to “resolve the overcharges to middle-class and working-class students.” In response, Brown stated that it independently determines student aid, aligning with its institutional methodologies. Spokespersons for Columbia, Emory, and Yale justified their settlements to move past the case and refocus on their academic missions. Duke, however, has not yet responded to requests for comments.
The final approval of the settlements rests with U.S. District Judge Matthew Kennelly, who has played a pivotal role in allowing the lawsuit to progress thus far.
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