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American Intercontinental University Lawsuit in 2021

A class action lawsuit against the AmericanIntercontinental University (AIU) was filed in 2021. Its timeline and value are not clear to prospective students. The university has not announced that it is closing, but it should be more transparent about its program’s value to prospective students. The university should also report the important metrics to potential students.


In the American Intercontinental University lawsuit, the parent company admits that it made false claims about employment rates and graduate incomes. It also admits that it misled students about the value of its educational programs. As a result, the lawsuit seeks forgiveness in part of the debt, but not all of it. This means that American Intercontinental University creditors will have to look to other debt relief methods to get their money back.

While the settlement is still under review, two former employees of the school filed the lawsuit last year. They say the school lacked academic standards and granted degrees to students who never completed required coursework. The plaintiffs allege that AIU misrepresented the quality of its programs, and lied about employment prospects to lure students. However, the university denies these claims, arguing that it has always complied with federal and state regulations.

Class action lawsuit

A lawsuit against American Intercontinental University alleges the school defrauded federal grant programs and the agency that approved its accreditation. According to the whistleblower who filed the lawsuit, AIU admitted students who couldn’t read or have a high school diploma and gave them degrees without verifying their academic credentials. The school is also accused of misleading students about its programs and employment prospects. While AIU denies these allegations, it insists it has always followed federal and state regulations.

The university is a for-profit institution of higher learning that offers graduate and undergraduate degrees. Plaintiffs allege that the defendants violated federal laws by failing to properly enroll students and by paying enrollment counselors based on incentive. Furthermore, a for-profit school is not allowed to receive more than 90 percent of its revenue from federal student aid.

Compliance with SACS standards

AIU has been accused of not complying with SACS standards in recent years. The plaintiffs’ suit claims that the university has been making false statements about its compliance with federal law, such as Title IV of the upper Education Act. They further argue that AIU’s enrollment counselors receive incentive-based compensation that is inconsistent with its accreditation standards.

The lawsuit claims that AIU violated SACS standards in several ways, including the use of quotas and recruiting incentives. The school was put on probation by the SACS in 2007 and 2006 for violating policies regarding student enrollment. The school was also prohibited from offering financial aid or scholarships to students who failed to have a high school diploma. Despite this setback, AIU continues to defy SACS standards.

Class action lawsuit’s timeline

The American Intercontinental University (AIU) is currently the subject of a class action lawsuit based on allegations that it awarded degrees to students who did not complete the necessary coursework. The lawsuit was filed last year by two former employees of the school. It claims that AIU misrepresented its educational programs and mislead prospective students about their employment prospects. The school has denied the allegations and says it has complied with federal and state regulations.

AIU was found to have violated federal law by claiming that its enrollment counselors were not required to pass a test or earn a certain grade. This is contrary to the requirements outlined in Title IV of the Higher Education Act, which prohibits institutions from using incentive-based compensation for enrollment counselors. Additionally, AIU failed to comply with the requirements set forth by the Southern Association of Colleges and Schools, which accredits colleges and universities.

Class action lawsuit’s impact on student loan debt

The recent lawsuit against AmericanIntercontinental University (AIU) may shed light on student loan debt. It alleges that the for-profit college lied to prospective students about its programs and their chances of employment after graduation. The lawsuit may also lead to increased regulation of for-profit schools, helping protect future students from being scammed. But the lawsuit only represents one example of the growing problem of student loan debt. With tuition costs rising and unemployment rates rising, it can be difficult for students to pay back their loans.

The class action lawsuit has outlined several different ways to resolve debt issues and protect students. It highlights the need to provide more options for students, which includes forgiving debt through the Borrower’s Defense to Repayment Program (BDAR). The lawsuit also states that the government must make disclosures on student loan debt to students.

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