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Are you burdened with debt from Kaplan University?

Kaplan University (KU) was a for-profit college owned by Kaplan, Inc., a subsidiary of the Graham Holdings Company. It was predominantly a distance learning institution, also maintaining 14 ground locations across the United States. The university was named in honor of Stanley H. Kaplan, who founded Kaplan Test Prep. In 2017, Indiana’s Purdue University announced the acquisition of Kaplan University with the aim of changing it into a nonprofit online institution known as Purdue University Global. The acquisition was completed in March 2018.

The for-profit industry is spiraling downward, which is great news for former students. Programs have now opened allowing students to find relief from their student loans obtained at these dishonest for-profit institutions. If you attended Kaplan University, call (877) 515-0185 to see if you qualify for student loan forgiveness. We can also assist you with your private student loans.

Lawsuit Riddles Kaplan University To The Core


Florida Comes In Swinging

On August 17, 2011, the U.S. District Court for the Southern District of Florida issued a series of rulings in three related cases based on the federal False Claims Act. The cases included three separate complaints by three former Kaplan University employees, Messrs. Wilcox, Gillespie, and Diaz. The court dismissed the claims brought by Wilcox in their entirety. Wilcox was later, and separately, convicted for making threats against Kaplan employees.  The Court also dismissed in part Gillespie’s complaint, and, on July 16, 2013, the Court entered summary judgment in favor of the Company on all remaining claims in the Gillespie complaint. Gillespie appealed to the U.S. Court of Appeals for the Eleventh Judicial Circuit and, on March 11, 2015, the Appellate Court issued a decision affirming the lower court’s dismissal of all of Gillespie’s claims. 


Diaz Keeps Fighting

On Diaz’s compliant, the Court dismissed the entire False Claims Act claim and on October 31, 2012, the court entered summary judgment in favor of Kaplan as to the sole remaining employment claim in the Diaz complaint. Kaplan also received a judgment for costs against Diaz based on his frivolous employment claims. However, Diaz appealed and, on March 11, 2015, the Appellate Court affirmed the dismissal of three of the four Diaz claims, but reversed and remanded on the claim that incentive compensation for admissions representatives was improperly based on enrollment counts. Kaplan filed an answer to Diaz’s amended complaint and a summary judgment briefing schedule has been set.


The Dust Settles

On July 7, 2011, the U.S. District Court for the District of Nevada dismissed another False Claims Act case brought by another former employee of a Kaplan nationally accredited campus, Mr. Jajdelski, in its entirety and entered a final judgment in favor of Kaplan. The claim found that Jajdelski had failed to present evidence the company received student aid funds for “phantom students”. Like the other cases, the federal government has repeatedly declined to intervene. On February 13, 2013, the U.S. Circuit Court for the Ninth Judicial Circuit affirmed the dismissal in part and reversed the dismissal on one allegation under the False Claims Act relating to eligibility for Title IV funding based on claims of false attendance.  The surviving claim was remanded to the District Court, where Kaplan was again granted summary judgment on March 9, 2015. The plaintiff appealed , and on March 22, 2017, a Ninth Circuit panel upheld a lower court’s ruling in favor of Kaplan.


Congress Reports on Kaplan

In 2010 Kaplan and other for-profit education companies came under scrutiny from the U.S. Congress due to concerns that the industry leaves too many students with heavy debts, and with credentials that are of little help in finding jobs. Much of the report focused on Kaplan College programs, which are no longer a part of Kaplan University. Although the report was critical of Kaplan Inc., Senator Tom Harkin, then chair of the investigating committee noted, “Kaplan stands alone among the large, for-profit education companies for having taken what are, in my opinion, real and significant steps to reduce high withdrawal rates and high default rates by implementing the Kaplan Commitment program.

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