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Students who attended the University of Phoenix between 2012-2016 may qualify for compensation. 

Contact The Carlson Law Firm today to schedule a free, no-obligation consultation.

The Problem

Much like DeVry, the University of Phoenix advertised the promise of high paying jobs after completing a degree. However, this was not the story for many students who attended the  for-profit college.

FTC Settlement

In a settlement worth $191 million with the Federal Trade Commission, the University of Phoenix and its parent company, Apollo Education Group, agreed to wipe out student debts owed to the school. However, it does not wipe out other types of debts. 

The University of Phoenix will pay $50 million in cash and $141 million to cancel debt for students harmed by the deceptive ads.

Your Rights

As a current or former University of Phoenix student you may have a claim against the University of Phoenix under the Deceptive Trade Practices-Consumer Protection Act, even if you receive some cash or debt relief from the FTC settlement.

How We Can Help

If you chose to become a University of Phoenix student because of the for-profit college’s deceptive ads claiming a high employment rate or higher income for graduates, and were later unable to find employment in your chosen field after graduation, you may be entitled to compensation. Contact The Carlson Law Firm today for a free case evaluation.

University of Phoenix Lawsuit: The Aggressive Recruitment

In April 2012, former President Barack Obama signed an executive order that prohibited for-profit colleges from gaining favorable access to the military. This includes preventing for-profit colleges from freely dispatching recruiters to military bases. 

However, according to records obtained through the Freedom of Information Act, the University of Phoenix was able to side-step this law by paying for sponsorships at military events. For example, an article from Reveal News details a $25,000 sponsorship of a concert for soldiers and their families.

What tactics did the University of Phoenix use to recruit service members?

In addition to concerts, internal documents from the University reveal that the company had a “sophisticated recruitment strategy.” Ultimately, the goal was to “fulfill expectations of market penetration.” To meet this goal, the company engaged in military recruitment by using the following methods:

  • Cultivating veterans’ organizations
  • Utilizing military insignias in school marketing without required permissions
  • Sponsoring hundreds of events on military bases including concerts, Super Bowl parties and father-daughter dances.

In fact, the university spent over $1 million over the past five years sponsoring events at the largest military bases in the country, including an Easter egg hunt at Fort Hood, Texas.

The False Promise of a Brighter Future

The FTC alleged advertisements were a major part of attracting students to the school. Specifically, the ads targeted military and Hispanic consumers. 

In many cases, the ads showed employers like:

Microsoft
Twitter
Adobe
Yahoo
American Red Cross
Avis
AT&T

By using these companies in its advertising, the University of Phoenix gave the impression that it worked with these companies to create job opportunities for its students. In addition, these ads may have made people believe that the curriculum at the school was tailored for success working in these companies. In reality, these companies were never partnered with the University of Phoenix.

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