Columbia, Duke, UPenn among 32 US universities sued for 'early decision' tuition hike

Thirty-two leading US universities, including Columbia University, Duke University, and the University of Pennsylvania, are facing a proposed class action lawsuit accusing them of colluding to raise tuition costs through the early decision admissions process. The case was filed in a federal court in Boston by former students of Wesleyan University and two other schools.

According to a Reuters report, the lawsuit claims the universities used early decision commitments to justify higher tuition rates for both early and regular admission students. Early decision applicants typically face earlier deadlines and enjoy higher chances of acceptance, but must commit to attending if admitted. This agreement prevents them from considering offers or financial aid packages from other institutions.

According to the complaint, the universities violated US antitrust laws by agreeing not to compete for early decision students. The plaintiffs also allege that applicants are misled into believing early decision offers are legally binding. “Early decision applicants lose choice and negotiation leverage, while regular decision applicants are left to scramble for an artificially diminished number of admission slots doled out at lower acceptance rates,” said Benjamin Brown, an attorney for the plaintiffs.

The list of defendants includes Amherst College, Northwestern University, University of Chicago, Johns Hopkins University, Vassar College, Wesleyan University, and the Consortium on Financing Higher Education — a network of private liberal arts colleges that facilitates information-sharing.

The plaintiffs are seeking class action status for all early decision applicants since 2021, as well as certain regular decision students. They are asking the court to award monetary damages for alleged tuition overcharges and to prohibit the use of binding early decision programs in the future. If successful, the case could impact how some of the most selective US universities manage admissions and tuition pricing.