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Charlotte School of Law Closure: Who’s to Blame?

Quick Answer: Charlotte School of Law’s closure resulted from multiple failures: the Obama administration restricted federal loan access due to poor student outcomes (50% unemployment, 20% lower bar pass rates), and North Carolina ultimately refused to renew the school’s operating license. While the Trump administration briefly restored federal funding after lobbying efforts, state regulators prevented the for-profit law school’s continued operation.

The Charlotte School of Law is, or now was, a for-profit college in North Carolina that has been under fire for poor performance.

Under the Obama administration the school was put on notice that because of their poor student performance they would lose access to federal student loans. The American Bar Association had also put the school on notice in February 2016 they were not preparing students for the legal profession.

Under the Trump administration the Department of Education agreed to give Charlotte School of Law access to federal student loan money again after the school had hired a lobbyist who had helped Secretary of Education Betsy DeVos navigate her confirmation hearings.

The part the headline left out

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So it appeared to be game on again for the Charlotte School of Law to go back and selling their for-profit legal education where in 2016 graduates are about 50% unemployed and are 20% less likely to pass the bar exam to become a licensed attorney.

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This all circles back to the important issue about access to federal student loan dollars for schools which deliver a less than stellar educational product.

Even though the Department of Education tried to breath life back into the poor performing school the State of North Carolina was having none of that. The University of North Carolina Board of Governors who is responsible for issuing licenses to operate, did not give the school a new license.

WBTV is reporting:

A spokeswoman for North Carolina Attorney General Josh Stein said Tuesday his office would take steps to ensure the school did not operate without a license.

A spokeswoman for Stein said on Tuesday that the Attorney General wrote US Secretary of Education Betsy DeVos to notify her that the school was no longer licensed to operate in North Carolina under state law.

The move could potentially allow recently enrolled students to seek total forgiveness of the loans they took out to attend law school.

“I want to express my disappointment for the students and their families affected by Charlotte School of Law’s failure,” Stein said in a statement. “While good lawyers have graduated from Charlotte School of Law, the school too often failed to deliver for its students.” – Source

Undoubtedly some people are going to blame others for the closure of the Charlotte School of Law. Students in classes there will be hurt. But ultimately this is not a story about regulators taking action and hurting the school. It’s about the school hurting itself and students by offering a substandard product that didn’t meet the standards necessary to continue.

If people want to blame someone here the energy should be turned to the school owners at InfiLaw System which also operates other for-profit law schools.

The website of the Charlotte School of Law today is offering the same type of poor performing help and assistance to visitors.

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Steve Rhode The Get Out of Debt Guy | Consumer Debt Expert
Consumer debt expert & investigative writer. Personal bankruptcy survivor (1990). Washington Post award-winning author. Exposing debt scams since 1994.

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