Closed For-Profit Business School Sued By Former Students

Closed For-Profit Business School Sued By Former Students

11:01am Jul 28, 2015
Brian Turner via Flickr

A for-profit business college that closed its campuses in Greensboro and Charlotte is facing a class-action lawsuit from former students and graduates.  The Brookstone College of Business shut down in May with little warning.

The suit was filed last week in Guilford County Superior Court.

One student alleges she couldn’t get her diploma after Brookstone closed unexpectedly.

Another says he was cut off from job placement services and remedial courses.

The News and Record reports Brookstone left 119 students in the lurch at its Greensboro campus, and 88 students at its campus in Charlotte.

According to the lawsuit, students were denied refunds following the shutdown.

Brookstone is owned by Jack and Marlene Henderson of Charlotte.

A news release in May blamed the closing on the cost of complying with new federal regulations.

Those new rules were enacted to combat fraud and abuse at for-profit colleges across the country.

The lawsuit seeks unspecified damages from the Hendersons for alleged fraud, negligence and deceptive trade practices.

Support your
public radio station