Full Sail University facing federal lawsuit alleging fraud

Full Sail University and the Los Angeles Film School are facing a federal lawsuit accusing them of defrauding the government and pressuring students to enroll.

The allegations

What we know:

The lawsuit against Full Sail University and LA Film School has two main allegations.

One is that the schools were lying about how many of their students wound up with jobs in their chosen career fields after graduating.

That’s called "gainful employment" and schools have to meet a certain threshold to maintain accreditation and – in Full Sail’s case – to get $377 million in federal financial assistance.

The people who filed the lawsuit were high-ranking officials at Los Angeles Film School, which is run by the same people as Full Sail University.

They’re also alleging the schools incentivized sales reps to recruit as many enrollees as possible.

There are laws against that.

What they're saying:

David Salas studies Film at Full Sail. He says it’s an exceptional program, and he’s loved his time with the school.

He says he feels whether someone gets a job is up to the individual student’s talent and dedication, not the school alone.

"I think the entire time they've been very transparent about the fact that not everybody will get a job. Matter of fact, most people might not. But it really, if you take your dream seriously, then we'll take you seriously and we'll equip you with all the tools that you need to enter this industry."

He told FOX 35 this coming Wednesday, there’s a job fair where companies come to hire kids from Full Sail. 

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The lawsuit actually talks about that type of thing, saying Full Sail would offer studios discounts to operate on their campus as long as they hired students for a couple of days. Then the school would allegedly fraudulently use that to say, "Look, our students got jobs in the industry."

Salas said that doesn’t actually bother him that much.

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"If they're using that to say they're getting hired, I mean – You were, right? And it's up to you what you make it from there," he pointed out. "I might meet somebody else that is like, ‘Hey, I actually need a PA on this other gig.’ That's how this industry works."

Full Sail’s Achievements

Full Sail says they emphatically deny the claims, saying the facts were badly mischaracterized and adding, "We are committed to compliance with all regulatory requirements."

Full Sail does have plenty of successful graduates.

FOX 35 just reported a couple of weeks ago on 69 different graduates winning Emmy’s this year, including alumni who worked on shows like "The Last of Us" and "The Pitt."

More than a dozen of their alumni won Grammys and Oscars this year too.

Full Sail’s Response in full

A representative of Full Sail University sent FOX 35 the following statement:

  • Full Sail is aware of the lawsuit and emphatically denies the claims against it, filed by plaintiffs who were never employees of or worked at Full Sail.
  • We are surprised and disappointed that two former employees of The Los Angeles Film School would so badly mischaracterize the facts and include Full Sail as part of their misguided litigation.
  • Full Sail is proud of the accomplishments and well-documented successes of its graduates, including alumni who have worked on countless award-winning projects and who have earned individual recognition including Oscar, Emmy, Grammy, and The Game Award honors.
  • We fundamentally disagree with the allegations in the complaint, and we are committed to compliance with all regulatory requirements. Our Career Development department does an exceptional job supporting students and alumni, and the outcomes are regularly reviewed by regulators to confirm compliance.
  • It is unfortunate that Full Sail was included in this ill-advised lawsuit, and we look forward to the opportunity to defeat each claim against the school through the judicial process.

The Source: This story was written based on information taken from federal court filings, Full Sail University students and Full Sail University.

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