#United States #Philadelphia #Johns Hopkins #Financial Aid #Caltech

Proposed Settlements in Major Financial Aid Class Action

The Angeion Group recently announced significant settlements involving two renowned universities, the California Institute of Technology (Caltech) and Johns Hopkins University. This comes after a federal court preliminarily approved these settlements in a class action lawsuit entitled Henry, et al. v. Brown University, et al. With a total settlement amount of $35.25 million, this decision has far-reaching implications for students who relied on financial aid while attending these institutions.

Background of the Case

The legal action stems from allegations that these universities engaged in anti-competitive practices regarding financial aid distributions. The plaintiffs, former students, argued that the institutions conspired to set financial aid policies that ultimately deprived students of access to adequate financial support. This lawsuit is part of a broader fight against coordinated pricing practices among elite universities, aiming to ensure fair competition in educational funding.

Financial Terms of the Settlement

As part of the settlement agreement, Caltech will contribute $16.75 million, while Johns Hopkins will pay $18.5 million. These funds will be allocated to a Settlement Fund from which eligible members of the settlement class—students who attended these institutions during specified periods—can receive financial compensation. Each member of the class who takes action prior to the deadline will be eligible to file a claim to benefit from this settlement.

The university settlements are in addition to previous total settlements exceeding $284 million that were approved in July 2024. This cumulative financial assurance indicates the severity of the allegations and the commitment of these institutions to resolving the issues at hand.

Who is Eligible for Compensation?

To qualify for these settlements, individuals must meet specific criteria. Eligibility requires that a person:

• - Was enrolled in a full-time undergraduate program at any of the defendant universities.
• - Received need-based financial aid.
• - Paid tuition, fees, or other costs not fully covered by financial aid.

The Class Period is defined differently for each institution:

• - For members associated with Caltech, the eligible enrollment period is from Fall Term 2019 through February 28, 2024.
• - For Johns Hopkins, it spans from Fall Term 2021 to February 28, 2024.
• - Additional schools included in the settlement have their own defined periods, emphasizing the broad reach of the issue across multiple prestigious universities.

How to Claim Your Funds

The process for claiming funds involves timely submission of claims following specific instructions that will be made available closer to the distribution date. It's crucial for eligible members to remain proactive throughout this process, ensuring all necessary documentation is submitted timely.

Those who fail to file a claim by the stipulated deadline risk losing the opportunity to benefit from the settlement.

Next Steps and Other Options

There are vital timelines to observe for those who qualify for these settlements. Notably, if applicants want to opt-out or object to this settlement, they must do so before April 9, 2025. This gives individuals a chance to weigh their options carefully and make an informed decision.

Lastly, a Fairness Hearing is set for June 20, 2025, where the court will contemplate the reasonableness and adequacy of these settlements while listening to any objections. This hearing is an essential part of the judicial process, affirming transparency in handling class-action settlements.

For more information, affected individuals can visit Financial Aid Antitrust Settlement or reach out via phone at 1-833-585-3338. The opportunity for redress is significant, highlighting the critical nature of financial aid policies in higher education institutions, reflecting on the continuous need for reform and accountability in university practices.