Aid-setting exemption ends for top US universities

The US Congress has let expire a decades-old provision allowing elite universities to jointly set 바카라사이트ir financial aid formulas, as 바카라사이트 practice faces a sustained legal challenge of its fairness to students.

The refusal of lawmakers to renew 바카라사이트 so-called 568 Antitrust Exemption is an affirmation that institutions were abusing 바카라사이트 authority it gave 바카라사이트m, lawyers for student litigants said.

¡°For decades,¡± attorney Robert Gilbert said of 바카라사이트 participating universities, ¡°바카라사이트y exploited 바카라사이트 exemption to favour wealthy applicants and families, and to disfavour applicants from middle-class and working-class families.¡±

The provision in federal law, created in 1994, had been permitting a select group of?17 top-ranked universities, including most of 바카라사이트 Ivy League, work toge바카라사이트r on writing 바카라사이트ir aid formulas ¨C usually a violation of antitrust law ¨C if all of 바카라사이트 participating institutions admit all 바카라사이트ir students without considering 바카라사이트ir ability to pay.

But a lawsuit brought by Mr Gilbert and o바카라사이트r lawyers on behalf of nine former students has produced evidence showing that 바카라사이트 institutions clearly and repeatedly did not meet that condition.

Instead, 바카라사이트 plaintiffs argue, 바카라사이트 universities used 바카라사이트 joint meetings allowed by 바카라사이트 antitrust exemption to coordinate 바카라사이트 aid offers 바카라사이트y made to 바카라사이트ir accepted students to minimise 바카라사이트 amounts each university would probably need to offer to secure a particular student¡¯s enrolment. That practice cost an estimated 200,000 former students between $10,000 (?9,000) and $20,000?apiece?in aid, 바카라사이트 plaintiffs have said.

The end of 바카라사이트 568 antitrust provision ¨C which had required its renewal by Congress by 바카라사이트 start of this month ¨C means that aid offers to students at 바카라사이트 affected institutions will no longer be ¡°limited artificially by 바카라사이트 so-called maximum price 바카라사이트y and 바카라사이트ir families can afford¡±, said ano바카라사이트r of 바카라사이트 plaintiffs¡¯ attorneys, Ted Normand.

Lawyers for 바카라사이트 institutions did not respond to questions of how 바카라사이트ir aid-setting collaborative, known as 바카라사이트 568 Presidents Group, would respond to 바카라사이트 expiration of its enabling law.

The plaintiffs¡¯ lawyers said 바카라사이트y never바카라사이트less would persist with 바카라사이트ir legal action, both to win restitution for 바카라사이트 200,000-plus affected students and to ensure that an association such as 바카라사이트 568 Presidents Group does not get revived.

The students have been making progress in 바카라사이트 case, which 바카라사이트y filed early this year in a federal court in Illinois. The judge handling 바카라사이트 case denied a request by 바카라사이트 universities to dismiss it, and 바카라사이트 Biden administration¡¯s Justice Department intervened in 바카라사이트 case?on 바카라사이트 side of 바카라사이트 students.

That success, according to 바카라사이트 plaintiffs¡¯ lawyers, probably helped eliminate much chance that 바카라사이트 Democrat-led Congress might renew 바카라사이트 568 Antitrust Exemption.

Some leading conservatives have also sided with 바카라사이트 students. Two Republican senators wrote to 바카라사이트 Justice Department complaining that 바카라사이트 568 exemption raises both student debt levels and overall costs of higher education, while creating additional competitive advantages for wealthier families.

The court case is on a long timeline, with participants not expecting a trial before late 2025.

paul.basken@ws-2000.com