Authors

Luke Jacobs

Document Type

Perspective

Publication Title

Emory Corp. Governance & Accountability Rev. Perspectives

Publication Date

1-5-2019

Abstract

For many for-profit colleges, most of their gross tuition is made up of students paying with some type of Title IV aid. For Heritage College, a private for-profit college working under Weston Education, Inc., roughly 97% of their students received Title IV aid. Remaining eligible to accept federal funds has become an integral piece of these for-profit colleges business models. Two main theories have been recognized by the courts for FCA liability when evaluating ICB claims: promissory fraud and the implied false certification theory (IFCT). This Paper will cover the courts' analysis of these two legal theories and the key points that have created differing outcomes. The courts' precedent points heavily to the determination that the ICB does not rise to a level of materiality under either of these theories.

First Page

1075

Volume

6

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