Anne Bucher  |  May 18, 2017

Category: Consumer News

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GCU class action lawsuitGrand Canyon Education Inc. d/b/a Grand Canyon University is facing a class action lawsuit accusing it of refusing to refund tuition charges when students notify the school of their intention to drop classes or withdraw their enrollment.

Plaintiff Lee Ward says he signed up to take online courses from Grand Canyon University, a for-profit college. According to the Grand Canyon University class action lawsuit, nearly 80 percent of the college’s students take courses online and have never visited the campus in Arizona.

“Defendant has assembled a massive marketing and recruiting operation to keep new students enrolling, even though tens of thousands of students drop out each year without a diploma or anything to show for their time as a student,” the Grand Canyon University class action lawsuit states.

The majority of GCU’s funding comes from the federal government, the bulk of which comes from tuition financed through federal student loans and grants, the Grand Canyon University class action lawsuit alleges.

“Since students in many of GCU’s online programs quickly realize that their ‘classes’ and ‘curriculum’ are nothing more than a sham, Defendant’s refund policies are critical to its financial results,” Ward alleges in the GCU class action lawsuit.

According to the Grand Canyon University class action lawsuit, online students are charged excessive fees when they drop a class or withdraw from the college unless they do so before classes begin. If a student drops the course in the first week, that student will be charged at least 25 percent of the tuition. However, a student who fails to drop the course or withdraw after the first week will reportedly be ineligible for a refund. These refund policies are listed in the University Policy Handbook.

“Federal law and regulations do not allow GCU to keep federal grant or loan amounts when a student promptly withdraws from a course,” Ward alleges. GCU has adopted practices designed to discourage online students from dropping or withdrawing from courses so that it can prevent students and the federal government from getting refunds, the GCU class action lawsuit alleges.

Emails and phone calls are not valid methods of dropping classes, according to the GCU class action lawsuit. Although there is an online drop request option, it is not easily accessed by students. Further, the form is written in a manner that discourages students from completing it, Ward alleges.

Ward says he experienced issues when he tried to withdraw from courses in the first week of classes. He says he submitted the withdrawal form online and received an automated notice on the screen indicating his request had been sent, but he says he never received a confirmation. He completed the form three times in the first week without response, the GCU class action lawsuit says.

In the second week of classes, he again submitted the online withdrawal form because he still didn’t receive confirmation. He received a response informing him that, because he waited until after the first week to withdraw, he would still owe the full tuition. He claims he should not owe the full tuition because he initially submitted the withdrawal form in the first week of classes.

Ward has filed the class action lawsuit on behalf of himself and a Class of all Grand Canyon University students whose tuition was not properly refunded or recredited.

The GCU class action lawsuit asserts claims for breach of contract, unjust enrichment and declaratory judgment.

Ward is represented by E. Adam Webb and G. Franklin Lemond Jr. of Webb Klase & Lemond LLC.

The Grand Canyon University Class Action Lawsuit is Lee Ward v. Grand Canyon Education Inc. d/b/a Grand Canyon University, Case No. 1:17-cv-01749, in the U.S. District Court for the Northern District of Georgia.

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135 thoughts onGrand Canyon University Class Action Challenges Non-Refundable Tuition Policy

  1. Christine says:

    I have been down that same.road with GCU. They refund to respond to any of my letters , send a receipt/transcript of classes taken or paid by the department of education and scholarships.What can I do about this issue.I noticed on my credit report a statement saying I owe $1,100 dollars I can not get a.question. answered?

  2. GA says:

    I would like to join the class action lawsuit

  3. Kathy says:

    How can I join the law suite?

  4. Kiara Williams says:

    Can I join this lawsuit as well?? I too am being billed for a class I never took and did withdraw from the course and now I have a balance which is BS

  5. Zachariah A Lloyd says:

    I am completely dumbfounded by this so called ‘policy’ at GCU….
    I mean how can you force a student to pay for a course they do not even take?? Every other real college on Earth allows you to withdraw from a course, generally without any detriment. Not GCU though, Christian University that they are, they have no heart whatsoever, and feel like it is their right to squeeze every drop of possible blood out of any turnip stupid enough to enroll in their little criminal scam!!

  6. Donna Lewis says:

    I may I join this lawsuit also

    1. Top Class Actions says:

      The case is still moving through the courts and has not yet reached a settlement. Claim forms are usually not made available to consumers until after a court approved settlement is reached. We recommend you sign up for a free account at TopClassActions.com and follow the case. We will update the article with any major case developments or settlement news! Setting up a free account with Top Class Actions will allow you to receive instant updates on ANY article that you ‘Follow’ on our website. A link to creating an account may be found here: https://topclassactions.com/signup/. You can then ‘Follow’ the article above, and get notified immediately when we post updates!

      1. KP says:

        I would love to join please contact me.

      2. Shannon Rafferty says:

        Please let me know how to sign up for this. Online teachers aren’t required to submit your grades for the first week until the last day of the second week. They don’t even give you a chance.

        1. Zachariah A Lloyd says:

          This is for real, and it is slimy as can be….
          Every timeI have ever had a problem with an ‘instructor’ of a course at GCU, they ALWAYS wait until well into week 2, to show their true colors. I believe this is because they know that after week 1, you cannot drop the course anymore without paying out-of-pocket to retake it. So, the 1st week often has very little work to do, and many times, there is no assignment for week 1. As a result, you cannot realize that you have been duped until it is too late, and you are now just screwed.
          HOW in the world are things like this legal??

      3. Sheldon Craven says:

        okay thank you

  7. KP says:

    How do I join this lawsuit?

  8. Luis says:

    Any update? Where can I file a claim. I also had this problem when I started a class and wasn’t able to drop it in the first week and was charged the full amount.

  9. Henderson says:

    Should I even bother?

  10. Humphrey says:

    I also completed the online withdrawal form early last week. The form requested contact info but i have yet to receive any type of confirmation that they received my request. I will be completing the form again tonight and will be sure to screenshot it and also email the counselor to let him know that I submitted it so that I don’t get pulled into the same situation as others have. Luckily for me, the next class doesn’t “start” for me until 12/14/17 so I have time.

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