A class action settlement has been reached in class action lawsuits against San Francisco’s California Culinary Academy which is a subsidiary of Career Education Corp. (CEC). The case was filed in San Francisco Superior Court. The complaint alleged that the California Culinary Academy in San Francisco misrepresented its job placement rate.
The settlement provides that 8,500 students who attended the California Culinary Academy from 2003 through 2008 could be eligible for rebates up to $20,000, if the California Culinary Academy class action settlement is approved. Tuition prices are typically $46,000 for a 12-month program and an additional three months of on-the-job training.
A hearing to approve the settlement is scheduled for August 22.
Career Education Corp., the parent company of California Culinary Academy (it also owns 15 other vocational colleges, including the Texas Culinary Academy and Le Cordon Bleu), has agreed to eat $1.8 million in student debt.
According to the complaint, the school misrepresented its 98 percent job placement rate, exaggerated its prestige in the industry and suggested that it had a selective qualifying process. The placement statistics included non-professional entry level jobs like prep cooks, $8-$12 an hour line cooks and Starbucks baristas.
For more information on the class action settlement, visit the California Culinary Academy student class action website: www.ccaclasscounsel.com
Categories: Class Actions of Interest