University of Phoenix Students May File Deceptive Advertising Lawsuit

The Carlson Law Firm no longer accepts clients for the University of Phoenix Lawsuit. Please check back in the future for updates. 

For years, going to college has been sold as a way to achieve the American dream. Instead, ballooning costs and stagnant wages have made it nearly impossible for a generation of students to get a degree without racking up enormous student loan debt. It’s true that the student loan debt crisis is affecting students across both for-profit and non-profit colleges. However, crushing student loan debt has disproportionately affected students of for-profit colleges. Students of for-profit colleges like the University of Phoenix (UOP) and DeVry have been duped by false advertising. 

In December 2019, the University of Phoenix agreed to a $191 million settlement with the Federal Trade Commission over claims that students were harmed by deceptive advertising. However, the FTC settlement doesn’t come close to alleviating students of the debts incurred as a result of attending the University of Phoenix. Students interested in getting other debts relieved should contact The Carlson Law Firm to discuss a University of Phoenix deceptive advertising lawsuit. 

How did the University of Phoenix defraud students?

The for-profit university joined DeVry in being held accountable for harming students by the promise of a brighter future. A promise that for-profit colleges rarely deliver on. 

The Federal Trade Commission alleges that the University of Phoenix’s media campaign attracted students that specifically targeted military and Hispanic consumers. 

The Let’s Get to Work campaign gave the false impression that the University of Phoenix worked with major companies. Its advertising featured logos from the following high-profile employers: 

• Microsoft
• Twitter
• Adobe
• Yahoo! 
• American Red Cross
• Avis
• MGM Resorts
• Newell Rubbermaid
• AT&T

Its use of these companies in advertising may have led students to believe that the University of Phoenix worked with these companies to create career opportunities for its students.

In the ad below, a Black woman is seen driving through a parking lot. The spots are filled with logos of successful companies, suggesting a false narrative that UOP is partnered with these large companies.

Courtesy: University of Phoenix: Complaint Exhibit E from Federal Trade Commission on Vimeo.

What is in the University of Phoenix FTC Deceptive Advertising Settlement?

The University of Phoenix did not admit to any wrongdoing. But it did reach an agreement with the FTC for a record $191 settlement. Unfortunately for defrauded students, the settlement is a drop in the bucket compared to what they owe. 

The UOP and its parent company Apollo Education Group agreed to cancel $141 million in student debt. Additionally, the college agreed to pay a $50 million fine to the Federal Trade Commission to return to students of the for-profit college. 

According to a press release released on Wednesday, March 24, the FTC is issuing 146,804 checks and 677 PayPal payments to students who:

• Students that first enrolled in the school between October 15, 2012 and December 31, 2016
• Paid more than $5,000 with cash, loans, grants or military benefits
• Didn’t get the debt cancellation in the 2019 settlement;
• didn’t opt-out of the university providing their contact information to the FTC.

The $141 million debt forgiveness addresses loans that students owe directly to the school. Further, this forgiveness applies to students enrolled while the deceptive ads air. It’s important to understand that this doesn’t affect federal and private loans.

What can I do about federal and private loans I took out to pay for the University of Phoenix?

As noted above, The University of Phoenix’s settlement with the FTC does not address federal and private loans. If you were a University of Phoenix student between October 1, 2012, and December 31, 2016, you may be able to file a deceptive advertising lawsuit. This lawsuit may help you recoup losses that will assist in paying the student loan debt.

Consumer Protection Attorneys from The Carlson Law Firm are currently investigating deceptive advertising claims. The University of Phoenix has caused a significant amount of harm to students through its deceptive advertising. 

How do I know if the University of Phoenix defrauded me?

If you were a UOP student between October 1, 2012, and December 31, 2016, it is likely you enrolled during the for-profit college’s deceptive advertising. If your degree did not help get you a job in your field of study, we can help. 

Our attorneys are currently investigating cases in Texas and California.

The Carlson Law Firm is Here to Help

The student loan debt crisis is affecting millions of students in the United States. When you decide on a college, you make the choice based on what you believe will have the biggest payoff. The University of Phoenix made a promise that it was unable to deliver to thousands of students.

The Carlson Law Firm has more than 40 years of experience helping clients recover after deceptive business practices. Our Consumer Protection Attorneys will work hard to get you the refund and compensation you deserve. We care. We can help. 

The Carlson Law Firm no longer accepts clients for the University of Phoenix Lawsuit. Please check back in the future for updates.