June 5 An association of for-profit colleges
partly won an appeal against the U.S. department of education on
rules relating to deceptive advertising and distance education.
The Association of Private Sector Colleges and Universities
(APSCU), which represents more than 1,500 schools, had sued the
department after rules to rein in fraudulent practices at
for-profit colleges were finalized.
For-profit colleges include Apollo Group, Strayer
Education and ITT Educational Services.
The U.S. District Court for the District of Columbia in July
upheld rules on recruiter compensation and deceptive advertising
but tossed out a rule requiring online schools get authorization
in every state they have students.
In a ruling on Tuesday, the appeals court said the
department's regulation on deceptive advertising exceeded the
Higher Education Act's limits by allowing it to take actions
against colleges without procedural protections, among others.
It also upheld APSCU's challenge of the distance education
rule, saying the rule is not a logical outgrowth of the
department's proposed rules.
It upheld the state authorization rule.
APSCU and the education department were not immediately
available for comment.
The case is In re: Association Of Private Sector Colleges
And Universities vs. United States Department Of Education, Et
al, U.S. Court of Appeals, District of Columbia Circuit, No: