For-Profit Educator Pays $10.3M To Settle Jobs Claim Row

Law360, Los Angeles (August 19, 2013, 9:25 PM EDT) -- For-profit online school owner Career Education Corp. agreed on Monday to pay $10.3 million to settle claims by the New York attorney general’s consumer protection unit that the company artificially inflated its job placement rates.

The educator will pay $9.3 million to former students and a $1 million penalty fee, New York Attorney General Eric Schneiderman announced Monday. Career Education will also change the way it calculates its job placement numbers, the attorney general said.

The settlement concludes an investigation into Career Education’s job placement rates,...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.