Kentucky attorney general announces $1.2 M settlement with Daymar College

LOUISVILLE, Ky. (WDRB) – Kentucky’s Attorney General announced a settlement with for-profit Daymar college Thursday in a three-year-old consumer protection lawsuit.

According to the release, over 12,000 former Daymar students are eligible for debt relief as part of the settlement.

As part of the settlement, Daymar will pay $1.2 million to be distributed to qualified students who were enrolled at the school between July 27, 2006 and July 27, 2011. The settlement money will be prorated according to the number of terms the student was enrolled and the number of claims received.

The for-profit college will also forgive $11 million in debt owed by former students whose last day at the school was between July 3, 2006 and July 26, 2012.

“This settlement with Daymar will provide much-needed relief for past Daymar students and protection for students considering enrolling in Daymar in the future,” said Attorney General Jack Conway.

The lawsuit was originally filed in 2011 alleging Daymar College violated the Kentucky Consumer Protection Act by:

Denying students access to financial aid to buy their textbooks from vendors other than Daymar’s bookstore, which allegedly charged significantly higher prices than other vendors.
Misrepresenting students’ ability to transfer credits earned at Daymar to other institutions.
Admitting students who failed Daymar’s admissions assessment in violation of the school’s own admissions policy.
Hiring unqualified faculty who lacked the required credentials.

The administrators will send claim notice packets to all qualifying students beginning on October 26, 2015.

Any qualifying student that does not receive a notice should contact Class Action Administrators at 844-814-8813. For more information about the claims process, visit www.daymarcollegesettlement.com.