The DeVry class action settlement, formally McCormick v. Adtalem Global Education, was a $44.95 million resolution of claims that DeVry University and its Keller Graduate School of Management recruited students using inflated job placement and income statistics. It is now fully closed. Final distribution checks went out on October 31, 2024, the settlement officially closed on December 15, 2024, and the claims administrator became unreachable after December 20, 2024.1DeVry University Settlement. McCormick, et al. v. Adtalem Global Education Inc., et al. No further payments, reissues, or claims are available through this case.
What the Lawsuit Was About
Two advertising claims drove the case. DeVry told prospective students that 90 percent of its graduates who were actively seeking employment landed jobs in their field within six months of graduation, and that its bachelor’s graduates earned, on average, 15 percent more than graduates of other colleges within a year of finishing.2Federal Trade Commission. DeVry University Agrees to $100 Million Settlement with FTC Both figures appeared across television, radio, online, and print advertising.
The plaintiffs argued the placement figure was inflated, and a New York attorney general investigation found the income claim “inconsistent with other DeVry data.” Students, the theory went, relied on those numbers when they enrolled and paid tuition, and paid more for their education than it was worth.
Who Was in the Class
The class covered roughly 323,000 people nationwide.3Illinois Courts. McCormick v. Adtalem Global Education, Inc. Membership required two things: paying for any part of a DeVry University or Keller Graduate School of Management program between January 1, 2008 and December 15, 2016, and having seen and relied on the 90 percent placement claim, the 15 percent income claim, or similar advertisements when deciding to enroll.4DeVry University Settlement. McCormick v. Adtalem Global Education – Frequently Asked Questions Attending during that window was not enough on its own.
How Payments Were Calculated
The court preliminarily approved the settlement in May 2020 and gave final approval after an October 2020 hearing, finding it fair, reasonable, and adequate.3Illinois Courts. McCormick v. Adtalem Global Education, Inc. Each class member’s share was calculated in proportion to the number of credits they paid for, so a four-year degree recipient received more than someone who attended for a semester.4DeVry University Settlement. McCormick v. Adtalem Global Education – Frequently Asked Questions
Graduates who never found work in their field within six months of graduation received a fixed additional payment on top of that pro rata share:
- $1,000 additional for bachelor’s degree graduates
- $500 additional for associate’s degree graduates
- $500 additional for Keller master’s degree graduates
Uncashed funds were later redistributed pro rata among class members who had cashed their original checks.5McCormick v. Adtalem Global Education Settlement. McCormick, et al. v. Adtalem Global Education Inc., et al. – Recalculated Repayment FAQs
Why the Checks Took So Long
Two objectors appealed after final approval, which held up distribution while the appeals ran their course. When the settlement administrator, Kroll Settlement Administration LLC, finally mailed checks on October 21, 2022, it discovered miscalculations soon after, with some class members overpaid and others underpaid. Kroll issued stop-payment orders on every check without consulting the court or class counsel.1DeVry University Settlement. McCormick, et al. v. Adtalem Global Education Inc., et al.
Class counsel asked the court to remove Kroll, and the court appointed BrownGreer PLC as the replacement administrator. BrownGreer recalculated the payments and issued the final distribution checks on October 31, 2024. All deadlines for reissue requests have now passed.
Other DeVry Relief Former Students Should Know About
Two other legal actions targeting the same DeVry conduct provided different kinds of relief, and they were separate from the McCormick class action. Receiving money from McCormick did not disqualify a student from either.
The FTC Settlement
In December 2016, the Federal Trade Commission reached its own $100 million settlement with DeVry over the identical 90 percent placement and 15 percent income claims.2Federal Trade Commission. DeVry University Agrees to $100 Million Settlement with FTC That settlement provided $49.4 million in cash payments to qualifying students and $50.6 million in debt forgiveness, covering the full balance of unpaid private student loans issued to DeVry undergraduates between September 2008 and September 2015, along with student debt for tuition, books, and lab fees.6Federal Trade Commission. FTC Case Against DeVry Yields $100 Million Settlement
Sweet v. Cardona Loan Discharge
Former DeVry students may also have been eligible for federal student loan relief through Sweet v. Cardona, which resolved claims against the Department of Education over its handling of borrower defense to repayment applications. DeVry University was specifically listed among the schools covered, and eligible borrowers were entitled to full discharge of their relevant federal student loan debt.7U.S. Department of Education. Sweet v. Cardona Settlement Agreement That relief applied only to federal student loans and operated independently of the McCormick settlement.