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Bill > HB722


NH HB722

NH HB722
Relative to establishing causes of actions against educational institutions that charge excessive tuition rates.


summary

Introduced
01/22/2025
In Committee
03/17/2025
Crossed Over
Passed
Dead

Introduced Session

2025 Regular Session

Bill Summary

This bill: I. Creates criminal penalties for educational institutions that charge excessive tuition rates. II. Creates civil rights of action against educational institutions that charge excessive tuition rates.

AI Summary

This bill, known as the New Hampshire Predatory College Degree Consumer Protection Act, establishes a legal framework to protect students from excessive tuition rates at post-secondary educational institutions. The bill creates a mechanism to determine whether tuition is unreasonable by comparing the total program cost to graduates' potential earnings. Specifically, if 30% of a graduate's average four-year, inflation-adjusted salary is insufficient to cover annual loan payments on a 10-year schedule, the institution would be in violation of the law. Educational institutions found to be charging excessive tuition could be held liable for refunding the total cost of tuition and fees to students, with a 10-year statute of limitations for civil actions. The bill provides some protections for institutions, such as immunity from action if a non-U.S. citizen signs a waiver acknowledging the potentially abusive nature of the degree program. Additionally, the bill caps attorney fees for class action lawsuits at 10% of the total amount awarded and is set to take effect on January 1, 2026. The legislation aims to create accountability in higher education pricing and protect students from what it considers predatory tuition practices.

Committee Categories

Justice

Sponsors (1)

Last Action

Inexpedient to Legislate: Motion Adopted Voice Vote 03/26/2025 House Journal 10 P. 39 (on 03/26/2025)

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