Recent Legal Action by AAER
On December 3, 2025, the American Alliance for Equal Rights (AAER) initiated a federal civil rights lawsuit against the Hispanic Scholarship Fund (HSF) in the U.S. District Court for the District of Columbia. This legal challenge centers on the HSF's flagship program, the HSF Scholars Program, and its alleged exclusionary practices. The complaint points out that the program limits eligibility to those who identify as having Hispanic heritage, effectively barring qualified students from other ethnic backgrounds from consideration.
Details of the Lawsuit
According to the claims made in the lawsuit, the HSF Scholars Program violates provisions outlined in 42 U.S.C. § 1981, which is part of the Civil Rights Act of 1866. The legal action suggests that by enforcing such requirements, the HSF is discriminating against students who are Asian, white, black, or part of other non-Hispanic ethnicities. The HSF Scholars Program is not merely a financial grant; it operates under a contractual framework that entails several stipulations for participants.
HSF requires applicants to:
1. Create an HSF account and comply with its Terms of Use and Privacy Policy.
2. Grant HSF permission to use their name, image, and likeness publicly.
3. Consent to the extensive collection and utilization of personal data.
4. Agree to various waivers, including liability, class-action, jury-trial, and arbitration waivers.
5. Complete essays and provide financial aid documentation if applying for scholarship funds.
This lawsuit is driven by two plaintiffs represented by AAER: an Asian American high school senior with a 4.0 GPA and a non-Hispanic white law student with a 3.63 GPA. Both individuals meet all non-ethnic eligibility requirements and wish to access the opportunities provided by the HSF Scholars Program, such as scholarship funding, mentorship, and job prospects. However, they face obstacles only due to their ethnic backgrounds, which do not align with the program’s requirements.
Demands from the AAER
In their lawsuit, the AAER seeks several judicial remedies:
- - A declaration that the HSF Scholars Program violates 42 U.S.C. § 1981.
- - A temporary restraining order to prevent the HSF from finalizing its current application cycle or selecting scholarship recipients until the case is adjudicated.
- - A permanent injunction against HSF that prohibits the use of race or ethnicity for administering its programs.
- - Compensation for nominal damages, along with reasonable attorney fees and other costs associated with the lawsuit.
Edward Blum, president of AAER, stated that while the Hispanic Scholarship Fund can support students from Hispanic backgrounds, they are not permitted to exclude capable individuals from different ethnicities from a nationally recognized scholarship program on the grounds of race. He reinforces that scholarships should be awarded based on merit and capability, rather than ethnicity.
Implications of the Lawsuit
The outcome of this lawsuit could have far-reaching implications not only for the HSF Scholars Program but for other scholarship programs with similar eligibility criteria as well. If the court rules in favor of AAER, it could signify a pivotal moment in the fight against ethnic discrimination within scholarship programs across the United States. Students from diverse backgrounds could then have equal opportunities to compete for funding based solely on their academic merits rather than their ethnic identities.
The case highlights ongoing discussions about diversity and equity in educational funding and access, raising questions about the intersection of ethnicity and meritocracy in scholarship eligibility.
This lawsuit not only raises important issues surrounding civil rights but also serves as a reminder of the broader conversation about inclusion and representation in higher education funding mechanisms.