Qui Tam Suit Against University Nets $78.5 Million Settlement
Plaintiffs lawyers struck a $78.5 million deal in a long-running false claims suit that accused the University of Phoenix of rewarding recruiters for enrolling students, according to a settlement agreement announced Monday. The deal, which includes $11 million in attorney fees for the plaintiffs, is among the largest settlements of a False Claim Act fraud case in which the government didn't intervene, said a qui tam expert. Plaintiffs attorney Cliff Palefsky noted that "the win rate is ridiculously low" in such cases.
