U.S. universities continue to face legal battles over COVID lockdowns.
Susquehanna University recently reached a $675,000 settlement in a class-action lawsuit pertaining to the campus” closure in spring 2020 during COVID-19 lockdowns. This agreement, filed in U.S. Middle District Court, reflects an understanding between the university and students who argued that they deserved a partial refund of tuition and fees due to the shift from in-person classes to remote learning. The university, while agreeing to the settlement, maintains that it does not accept any liability.
Susquehanna isn”t the only education institution that has faced litigation over campus shutdowns. In 2020, numerous locations are forced to close, leaving students and their families who paid hefty tuition fees with limited means to continue their education. In Susquehanna’s case, the suit, initiated by lead plaintiff David Gladfelter, argued that students were unable to gain access to resources they otherwise would have including campus libraries, study halls, and other gathering places. Remote learning had also limited their ability to interact with other students, professors, and faculty members, and caused an abrupt shift to the learning format to which they had grown accustomed.
Under the proposed agreement, around 2,150 students will be notified about their option to join, and if they choose to participate, they will receive compensation after deductions for legal fees and administrative costs. Attorneys in the case have agreed to limit their fees to no more than one-third of the total settlement amount. Court approval is still pending, and Judge Matthew W. Brann, nominated to his post by former U.S. President Barack Obama (D), is expected to make a final decision after all students are notified and given an opportunity to respond.
Many students felt that the value of their education was diminished without access to campus facilities and in-person interactions during the height of the pandemic. For example, Bucknell University, located near Susquehanna, agreed to a $1.15 million settlement in a similar lawsuit, impacting approximately 3,500 students. Additionally, Penn State resolved a related lawsuit with a $17 million settlement, which will be shared among about 72,000 students, also after taxes and legal fees.
These settlements highlight the financial and legal complexities that educational institutions faced as the world shut down, and continue to face even now, four years later. While universities pivoted to online learning to ensure the continuity of education, students in various cases felt that the remote experience did not match the in-person engagement they had paid for. In defending themselves, institutions pointed out that they acted in compliance with mandatory health guidelines put in place at that time to prioritize safety during a crisis. Nonetheless, students argued that their tuition and fees covered more than just virtual classes—they were paying for a comprehensive campus experience that the pandemic made unavailable. They contended they should have been reimbursed for the difference.
The outcome of the Susquehanna case serves as a precedent for others, reflecting broader changes in how students view their educational investments. The pandemic has prompted a reassessment of what tuition payments should cover, in general, and has raised questions about the obligation of institutions to provide refunds when circumstances limit the intended educational experience. These settlements show how universities are navigating a new landscape of expectations from students and families who may increasingly look for transparency and flexibility in financial policies when disruptions occur.
As these cases continue, they may influence how universities approach their service commitments to students, particularly in times of crisis. While they’ve had to adapt to provide learning continuity, students have been vocal about their expectations, potentially setting the stage for policy changes in the near future.
Sources:
Pa. university agrees to settle lawsuit for $675K over campus shutdown during pandemic
Bucknell willing to settle for $1.15M class action suit over remote instruction during COVID-19
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