Argosy University Class Action Lawsuit

September 1, 2021 by Lewis

Although not exactly the latest news, Argosy University class action lawsuit still deserves a detailed scrutiny. The lawsuit, initiated by two students, involves a dispute between their college and the Argosy University, which they had signed up for as full time students. In carrying out this lawsuit, the Argosy University could have a beneficial effect on student-loan borrowers. This is probably how the public interest gets involved in these hot topics through mass media. It is also how students themselves come to learn more about the case and how they can possibly make a successful argument before the courts.

The Argosy University class action lawsuit revolves around the school’s failure to grant the students’ request for student loans forgiveness. Argosy University, through a series of administrative acts, failed to grant the student loans for which they were borrowers. But the Argosy University, through its now-fired Interim President, John K. Lemley, claimed that the graduates “mishapped” the educational plans of the college in the process of signing up. This, according to Argosy University, “was done in an effort to circumvent the requirements that would have been applicable” during the graduation process. Consequently, Argosy filed a lawsuit against the graduates, seeking damages for breach of contract and unfair tuition practices.

Argosy University, through the efforts of its Board of Trustees, has pursued a course of action that has surprised many lawyers, including those in the legal field. The Argosy University class action lawsuit, unlike most of the other recent lawsuits, does not seek damages for pain and suffering, but for the damages “totaled by the breach of the contractual obligations of the college.” Argosy, nevertheless, believes that its actions are appropriate in the circumstances it has discovered. And, it is pursuing this litigation “in an effort to secure the future of its students and its faculty.” Argosy has announced that the litigation is likely to result in award of millions of dollars in funding to the class action plaintiff and class members who were plaintiffs in this case.

This class action lawsuit comes at a time when the number of college students struggling to pay off enormous student loan debts is at an all-time high. Many of these young people have found that they cannot pursue their education because they are unable to meet the repayment deadlines. As such, many of them are in deep debt and unable to resolve this problem through any other means. However, this does not mean that they should stop trying. If a student loan discharge can be obtained, then these debtors can successfully complete their educations and obtain the financial security that will allow them to gain access to the financial resources required for completing further education. The Argosy University class action lawsuit asserts that such funding can be obtained by the class of plaintiffs.

The lawsuit targets four separate entities: the Art Institutes, defendants ARI Education Inc., and the Bank of Ohio, former students Kari Wilcox and Brian Skadlow, and the Ohio Department of Financial Services, specifically the Ohio State Board of Trustees. Each of these entities was accused of concealing the nature of the financial crisis and seeking to defraud the students of their tuition refunds. In addition to seeking to defraud students, these entities also pursued a number of unfair tuition rate increases which further harmed the students. These hikes were later used by the defendants to circumvent the student loan debt crisis.

Argosy University filed a motion to dismiss on behalf of the Ohio State Board of Trustees, arguing that the lawsuit should be dismissed because the claims raised by the plaintiffs were barred by the doctrine of estoppel. The court did not agree with Argosy’s argument and ordered a trial, which is scheduled to begin on February 10, 2021. Both parties have until the date of the trial to file their answer to the complaint to vacate any previously awarded debts, plus interest and fees. Kari Wilcox is expecting to join her former students in the Argosy University Class Action lawsuit.

13 thoughts on “Argosy University Class Action Lawsuit

  1. I was a student at Argosy for several years. I was told that I would be able to take the state exam to be a Psychologist. By the time I was near completing my program, the State of WA was no longer allowing Argosy students to test. I was treated badly by the school and not given honest information about the money I was borrowing. I was a student with an ADA accommodation. They did not have a person in this position who knew what they were doing and it changed often. I was given 3 different dissertation chairs which made me stay much longer than I should have. The doctorate program that I watched the program fall apart. I had no choice but to try to complete the program. Several students and myself were treated badly and threatened. They did not have internships as promised and thankfully I found my own. There is so much bad information about this school that it goes on and on, I reported them to the WA Attorney General a year ago. I reported them to the Department of Education and heard nothing. I want to avoid false promised but I need help. I have to consolidate because I have found no other option.

  2. I want to know why our federal government hasn’t stepped in to help students recover their lossed financial aid. I was a student pursuing a Bachelor’s in Forensic Psychology from 2012-2015. I was forced to withdrawal because they lied and stated that I exhausted my funding when they misused my loan money and somehow covered up all the lies by more lies applied to my account. It shows that I attended certain courses that I never signed up for. They also kept changing my financial aid counselors and eventually moved my course enrollment from Chicago to Phoenix. I feel like they took advantage because I was an online student and I’ve been frustrated for years because I was taken courses and never informed of the school closures until I tried to reenroll to complete the few classes I had left. I found out on my own while looking up my academic advisor’s information. I never got a chance to file suit, never got informed of any options of suing, and was denied the borrower defense twice! I just don’t know what to do anymore and it’s impacting my life for the worse because I can’t even buy a home since these damn loans linger and hurt my DTI! I’m angry that some fake college can just go in a ruin the lives of people that work hard just to build a life for themselves and their families! It’s a shame that I can’t even receive my degree by way of transferring because that would require adding more debt to what I already have! This is a vicious cycle that none of us have created. I hope Biden approves loans forgiveness for all students impacted by the professional con artists! The only question is…When?! Online education needs to be reformed.

  3. I was also enrolled, studying Criminal Law and for $50,000 I have no Master’s Degree and never got my grant from December to March right at the end when we were victims of their Scam? I was enrolled from 2012 to 2016. I lost a lot, then some. My mentality was not ready for this at all! They stole from students and there has to be compensated through a “Class Action lawsuit”? If anyone has any knowledge or hear anything please share on here. Thanks

  4. My taxes were garnished for 2 years over the loans I had taken out for this place, not to mention a wasted Pale Grant. I had applied for loan forgiveness and have record of it but was never contacted again by my supposed financial advisor. I was told I could transfer any credits I had towards the Psychology degree I was working to obtain but through Argosy I was “guaranteed” a position in the field upon completion. Needless to say, I never got to complete. I was withdrawn without reason from online courses, my loans went into default, and for 2 years, I had no income tax return due to this place. It’s a wonder how the sleep well at night.

  5. Important news came yesterday about Borrower Defense through the Dept. of Education. If you read carefully, identify whether you had already applied or have been denied Borrower Defense because of Argosy’s fraudulent and misleading practices, you may already be in this class of action. If you have not yet applied for Borrower Defense through the Dept. of Education, you can still go through the application process. The way you can do that is to sign in to FSA: look at the information about Borrower Defense Loan Discharge at

    Argosy University was among the universities listed by the government in the press release on 6/23/22.
    For those of us who suffered and continue to suffer because of fraud and misinformation about our degree program at Argosy, there may be relief, and for those who had already applied for Borrower Defense, it looks like there will 100% be relief. I am hopeful for all of us.

  6. I also need help. I too attended Argosy Univeristy. The experience brought calamity to my life. Class action suit?

  7. I also was a victim of the Obama scam recruiting women to only Jane $900 diverted of a $24,000 debt. I refuse to pay this off because they would not even acknowledge the credits earned when I decided to go from a masters to a lesser degree. It is a crooked racket… any way you look at it. 0 person to person interaction… all online communication with no explanation.

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