Capella University Class Action Says Degree Process is ‘Bait and Switch’

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The for-profit online university Capella was hit with a class action lawsuit alleging the school focuses on growing enrollment, but neglects current students.

Two former Capella University students allege in their class action lawsuit that Capella falsely advertises the time and money it takes for students to get their degrees.

The plaintiffs say that the for-profit university pours resources into recruiting new students at the expense of current students, leading to decreased resources, high instructor turnover, and delays.

“Capella essentially operated a ‘bait and switch’ program,” alleges the Capella University class action lawsuit. “The bait was displayed when Capella’s marketing materials and recruiters misled prospective and current students making misleading statements about the time to completion and cost of their mostly student-loan financed doctoral degrees.”

One of the plaintiffs alleges that she spent more than $50,000 trying to get a doctor of nursing practice degree. She says Capella advertises the degree as taking 30 months and costing $35,000 in tuition, but despite earning high grades, the plaintiff says that delays and instructor turnover led her to quit and pursue her degree elsewhere.

The other plaintiff says she spent more than $100,000 in tuition at Capella pursuing a doctor of education degree based on false promises that the degree would take three years. The plaintiff also alleges she earned top grades, but when it came to making progress to finishing her degree, Capella only presented barriers and hurdles.

“Instead of completing the promised doctoral degree program requirements and being awarded a doctoral degree in the advertised time, Capella employed the ‘switch,’” says the Capella University class action lawsuit. “Capella created an endless routine of hurdles and benefitted from additional tuition payments. Students who believed they were getting ever closer to obtaining their doctoral degree were in fact stuck with decreasing resources, faculty turnover, disorganization and a lack of oversight, all of which increased the length of the doctoral students’ enrollments at Capella.”

According to the Capella class action lawsuit, the online nature of the programs offered by Capella makes it difficult for students to realize that their peers are facing the same obstacles as they are in finishing their degree.

The plaintiffs say that they and thousands of other frustrated students are at the mercy of Capella advisors “who can and did ensure that doctoral students would be misled, confused, and ultimately cheated out of their money to the benefit of Capella.”

The Capella University class action alleges that Capella banks on the “crushing student debt” created by the delays and hurdles it creates to force students to un-enroll before finishing their degree so they can work to pay back that debt. Further, alleges the Capella class action lawsuit, the credits awarded by Capella are useless because other institutions will not accept them.

The plaintiffs seek to represent other Capella students nationwide who enrolled and paid tuition starting in 2006, along with Kansas and Tennessee subclasses.

The Capella class action lawsuit seeks damages as well as a court order stopping Capella from its alleged bait and switch and false marketing. The plaintiffs also want Capella to disgorge all profits from “excessive doctoral program coursework.”

The former Capella University students are represented by Garrett D. Blanchfield, and Roberta A. Yard of Reinhardt Wendorf & Blanchfield and Paul Lesko of Peiffer Tosca Wolf Abdullah Carr & Kane.

The Capella University Class Action is Wright, et al. v. Capella Education Company, et al., Case No. 0:18-cv-01062-WMW-SER, in the U.S. District Court for the District of Minnesota.