Monday, October 6, 2014

Court hearing Monday on proposed Mountain State University settlement



A court hearing is scheduled Monday afternoon in Beckley where a proposed settlement involving former students at Mountain State University will be presented for preliminary approval.
The proposal was first announced by plaintiffs’ attorneys and the University of Charleston in August.
More than 400 individual suits were filed along with at least two class action suits in state court and two in federal court after the school lost its accreditation in 2012. The largest group was about 600 nursing students who suffered the most harm when their program was stripped of accreditation a year before the entire school was discredited.
“The students were seeking damages from the closure of MSU and loss of accreditation,” plaintiffs’ attorney Anthony Majestro said when the proposed settlement was announced Aug. 13. “That took the form of delayed educational opportunities, delayed entry into the workforce, student loans, expenses, it runs the whole gamut.”
The plaintiffs will ask the three-judge mass litigation panel to approve the details of the settlement that include setting up a pool of money former MSU students would share through a formula based on where the students were in their education careers at Mountain State. The money would come from three different sources including MSU’s insurance company, the U.S. Department of Education and the liquidation of property in Beckley and Martinsburg.
The University of Charleston took over the defunct MSU and UC is part of the settlement. The university will offer tuition assistance to those former Mountain State students who wish to attend UC.
Monday’s hearing is scheduled for 3 p.m. in the ceremonial courtroom at the Raleigh County Courthouse. The judges will also hear any objections to the proposed settlement.