Title IV

News & Analysis as of

Seventh Circuit Revisits Sanford-Brown, Rejects Implied Certification Claim

In one of the few cases to apply the Supreme Court’s recent decision in Universal Health Services v. Escobar, the Seventh Circuit recently revisited and affirmed its prior rejection of an implied certification claim under the...more

Alert: All Institutions Face New Risks Under ED’s Final Borrower Defense Rule

In this, the first in a series of client alerts that will explain the workings of the new Borrower Defense to Repayment Rule (BDTR), we explore what promises to be a series of rules, procedures and interpretations to be...more

Dept. of Ed. Bans Pre-Dispute Arbitration Agreements by Title IV Schools

The U.S. Department of Education has issued a final rule that broadly addresses the ability of a student to assert a school's misconduct as a defense to repayment of a federal student loan. The final rule includes a ban on...more

Eighth Circuit Reinstates FCA Case Over Changed College Grades, Attendance Records

Can changing grades and attendance records be actionable under the False Claims Act (FCA)? According to the Eighth Circuit, the answer is yes. Specifically, in United States ex rel. Miller v. Weston Educational, Inc., two...more

Statements Regarding Title IV Compliance Can Provide Basis for “Implied Certification” Theory

Title IV’s incentive compensation ban (“ICB”) prohibits higher education institutions from paying bonuses or commissions to student recruiters. In a recent decision, the U.S. District Court for the Northern District of...more

Alert: ED's Proposed Rules for Online Learning Present New Compliance Challenges

On Monday, July 25, the US Department of Education (ED or the Department) formally released a Notice of Proposed Rulemaking (NPRM) to amend its current state authorization regulations, particularly with respect to distance...more

Ban Proposed on Mandatory Pre-Dispute Arbitration Agreements by Schools Receiving Title IV Aid for Student Borrowers

The U.S. Department of Education has issued a proposed rule that includes a ban on mandatory pre-dispute arbitration agreements by schools receiving Title IV assistance under the Higher Education Act (HEA) and a new federal...more

OTC Markets, Inc. Asks SEC To Open Regulation A+ to Reporting Issuers

On June 6, 2016, the OTC Markets Group Inc., the entity operating three major over-the-counter marketplaces (“OTC”), submitted a rulemaking petition to the SEC. The petition asked the SEC to amend Regulation A+ to allow...more

Department of Education Cash Management Regulations To Become Effective

Final regulations promulgated last year by the United States Department of Education (the “Department”) become effective July 1, 2016. The Department stated that the purpose of the regulations is “to address recent changes in...more

Alert: ED to Issue First Set of Gainful Employment Rates in January

The US Department of Education just announced its intent to issue the first set of official Debt to Earnings Rates ("D/E Rates") under the Gainful Employment Rule ("GE Rule") in January 2017. That timing would be consistent...more

Dept. of Education considering ban on use of arbitration agreements by schools receiving Title IV assistance

We recently blogged about Public Citizen, Inc.’s petition to the Department of Education requesting the Department to adopt a rule requiring schools to agree, as a condition of receiving Title IV assistance under the Higher...more

Public Citizen petitions Dept. of Education to ban use of arbitration agreements by schools receiving Title IV assistance

Public Citizen, Inc. has sent a petition to the Department of Education requesting the Department to adopt a rule that requires schools to agree, as a condition of receiving Title IV assistance under the Higher Education Act...more

Alert: Timeline for First Set of Gainful Employment Rates Slips Further

The US Department of Education has announced another delay in the distribution of the Completer Lists for Gainful Employment programs until Spring 2016, which is bound to push back the date for ED to issue the first set of...more

University Faces Action for Alleged Deceptive Advertising of Graduates' Employment, Earning Prospects

The Federal Trade Commission (FTC) has filed a complaint in a California federal district court against the operators of DeVry University in which it alleges that DeVry violated the FTC Act by misrepresenting the employment...more

New Regs Will Change How Colleges Offer Bank Accounts to Students

On October 30, 2015, the Department of Education issued regulations to impose requirements on the marketing and terms of deposit and prepaid accounts offered to students at educational institutions that participate in Federal...more

Education Department Reverses Course on Prohibition Against Incentive Compensation Based on Retention and Graduation; Clears Way...

On November 27, 2015, the United States Department of Education announced a reversal of its previously existing prohibition against the payment of incentive compensation based on students’ program completion or graduation...more

Alert: ED Adopts Changes to Clock and Credit Hour Rules

Earlier this month, the US Department of Education ("ED" or the "Department") announced a number of changes to the so-called "cash management" regulations that govern institutional arrangements with financial account...more

Employee Benefits Developments - October 2015

The Internal Revenue Service (IRS), consistent with prior regulations from the Department of Health and Human Resources (HHS), issued supplemental proposed regulations requiring employer sponsored health plans to provide...more

Alert: New Proposal Offers Limited Access to Federal Student Aid for Alternative Providers

On October 15, 2015, the US Department of Education ("ED") issued a long-awaited notice announcing an "Experimental Sites Initiative" ("ESI") to permit limited access to federal loan and grant programs for students enrolled...more

The why behind the application of GE regulations

Earlier this year, the U.S. Department of Education’s new “gainful employment” or “GE” regulations finally took effect. As REGucation readers know, the GE regulatory framework includes reporting, disclosure, and certification...more

States File First Brief in Regulation A+ Challenge

Montana and Massachusetts have filed their first brief in their Regulation A+ challenge. They are not happy because Tier 2 offerings under Regulation A+ preempt state review of the offering. Under the text of the rule Tier 2...more

Defense Department dramatically expands scope of Military Lending Act

The Department of Defense (DoD) dramatically expanded the scope of the Military Lending Act (MLA) on July 22, 2015, publishing its Final Rule amending the MLA’s implementing regulation. The DoD consulted with the CFPB in...more

Defense Department Dramatically Expands Scope of Military Lending Act

The Department of Defense (DoD) dramatically expanded the scope of the Military Lending Act (MLA) on July 22, 2015, publishing its Final Rule amending the MLA’s implementing regulation. MLA coverage was previously limited to...more

EEOC Sues Ups for Religious Discrimination

Package Delivery Giant Discriminated Against Class of Applicants and Employees Whose Religion Conflicted With the Company's Uniform and Appearance Policy, Agency Charged - NEW YORK - The nation's largest package delivery...more

Alert: California Approves Pathway for Non-Profit Institutions to Maintain Exemption from State Oversight

Governor Jerry Brown has now signed into law Senate Bill 81, which included language amending the California Private Postsecondary Education Act of 2009 (the "Act") to permit "independent institutions of higher education"...more

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