CBS Chicago: Judge allows price-fixing lawsuit to proceed against Northwestern, University of Chicago, 14 other prominent universities
A class action lawsuit is moving forward against 16 prominent universities, including Northwestern University and the University of Chicago, accusing them of holding back financial aid to students who qualified.
A federal judge on Monday denied several motions from the schools’ defense attorneys, seeking to dismiss the case.
The lawsuit, filed in February, accuses the schools of taking part in a price-fixing formula that reduced or eliminated financial aid.
“No one can reasonably dispute whether universities have colluded, or whether they maintain policies favoring potential donors,” Matt Stoller, research director of the American Economic Liberties Project, an anti-monopoly group, wrote in a newsletter. He added: “Elite universities want to imagine themselves as meritocratic, though in fact they cater to the wealthy professional class and the billionaires who employ them.”