All Posts Tagged With: "Ontario College Ancillary Fee Class Action Lawsuit"

Ontario government “reviewing” ancillary fees — sometime

Minister Milloy says government is looking into the alleged “illegal” fees, but won’t provide a timeline

One year after the launch of a $200 million lawsuit against Ontario’s public colleges over disputed ancillary fees, Ontario’s Minister of Training, Colleges, and Universities John Milloy says his government is reviewing ancillary fees charged by colleges to make sure they comply with Ministry regulations.

The disputed fees are extra charges for items and services traditionally covered by tuition, such as libraries and computer labs.

The lawsuit was dismissed by the Superior Court of Ontario in March with the court stating that it was the responsibility of the government to enforce its own regulations.

“The court case threw a bit of a curve ball,” said Milloy. “We were taking a look at ancillary fees. Now that the court case is officially over, it’s given us a chance to look at things from a new perspective.”

He said the review is ongoing and could not commit to timelines for action if the review finds the fees violate government policy. Asked if the review would be complete by September when college classes begin again, the Minister stated repeated there is no timeline.

The Canadian Federation of Students — which was involved in the class-action lawsuit in an advocacy role — says the Minister has known about the fees for a long time and he shouldn’t need a review to act.

“We’ve seen the policy. We know they shouldn’t be charging these fees,” says Shelley Melanson, CFS-O Chairperson. She called on the Minister to immediately enforce the regulations and to protect students from these fees.

With case out of the courts, minister still silent

With the appeal period over for the $200-million class action lawsuit against Ontario colleges, when is the Ontario Minister of Training, Colleges and Universities going to comment on ancillary fees?

It’s been over a month since an Ontario court tossed out a $200-million class action lawsuit against Ontario colleges for charging ancillary fees in violation of provincial government guidelines. The courts dismissed the case, stating they did not carry the force of law necessary for them to act.

Continue reading With case out of the courts, minister still silent

Full ruling in CFS-O Ancillary Fee Case

My apologies, I’m normally on the ball with these things. A reader emailed me today asking if I had a copy of the full ruling released Friday in the CFS-O ancillary fee class action case. I do. Here is the full ruling in PDF format.

My apologies, I’m normally on the ball with these things.

A reader emailed me today asking if I had a copy of the full ruling released Friday in the CFS-O ancillary fee class action case. I do.

Here is the full ruling in PDF format.

Class action lawsuit against Ontario colleges dismissed

Ball is in government’s court to enforce law

The Ontario Supreme Court ruled today that a $200-million class action lawsuit against Ontario colleges would not go forward. Justice Joan L. Lax’s ruling argued that the issue was political, not legal, and should be handled by the Ministry of Training, Colleges and Universities. Continue reading Class action lawsuit against Ontario colleges dismissed

Dalton knew about illegal college fees

Court throws out class action lawsuit; say gov should enforce rules

The Canadian Federation of Students – Ontario won a significant victory by losing in the Superior Court of Ontario today.

The CFS-O had backed a $200-million class action lawsuit against Ontario colleges for charging ancillary fees in violation of provincial government guidelines. The courts dismissed the suit today stating that guidelines did not carry the force of law necessary for the courts to act.

RELATED CONTENT Class action lawsuit dismissed

You are probably asking “how can this defeat in the courts be called a victory?”

Simple, the real battlefield here is the court of public opinion not a court of law.

The CFS-O has scored a major public relations victory by using this lawsuit to draw public (and media) attention to the issue of ancillary fees.

The government has been questioned about its decision to turn a blind-eye while Ontario’s colleges and universities nickel-and-dime students by charging ancillary fees in violation of provincial rules.

The government has been more than happy to brag about its “regulation tuition framework” and its protection of students from “unfair tuition increases.” Meanwhile, they were allowing ancillary fees to increase without control.

Whenever the government is asked why it is not acting on ancillary fees, they state that “the matter is before the courts” and they cannot discuss the matter.

Today’s ruling removes that justification for not acting. The government can no longer hide. It must act.

The Ontario government will face questions from the opposition next week in the provincial legislature. I expect one of the questions will be: “Why are you allowing Ontario colleges to raise tuition fees through the back door and breach your own Ministry’s guidelines.”

If you do not believe in déjà vu, it exists. A younger Dalton McGuinty asked this question about universities in 1993 when he was sitting on the other side of the house in opposition.

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McGuinty said he would be different, I wonder if his government will avoid answering the question much like previous governments?

It is not only the opposition that the government will face questions from. They will face questions from the media. We love nothing much than a story with an element of hypocrisy. Why were ancillary fees a form of “back-door tuition” when the Premier was in opposition, but they don’t seem to be now?

McGuinty knew about illegal college fees all along: students

YouTube video shows McGuinty acknowledging illegal fees

Two students, who are heading a class-action lawsuit against Ontario colleges, say they can prove that the government was aware that colleges have been charging students illegal ancillary fees. The plaintiffs have acquired a 2004 government memo to university presidents through an access to information request that warns post-secondary institutions not to charge such fees.

The $200-million lawsuit is demanding that Ontario colleges refund the last three years of extra fees, they say have been illegal since tuition was frozen in 2004. Ancillary fees include laboratory fees, library fees, and mandatory laptops fees. Provincial law requires such fees to be approved by students before implementation.

The memo shows that colleges and universities were cautioned by the Ministry of Training, Colleges and Universities not to charge prohibited ancillary fees for “building and information technology infrastructure improvements or student support services” as recently as July 2004.

The Canadian Federation of Students Ontario, who is acting in a supportive role in the lawsuit, released what it calls further evidence of the government’s knowledge of the fees on YouTube, the popular video sharing website. In a 1993 video from the Ontario Legislature, McGuinty, who was then an opposition MPP, asks the government why it allowed universities to raise tuition fees “through the back door,” in breach of the ministry’s own regulations.

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Chris Bentley, Minister of Training, Colleges, and Universities, has not yet commented on the case since it is now heading to the courts.

“Minister Bentley keeps saying that he’ll respond to complaints about illegal fees, but we haven’t heard back,” said Dan Roffey, a representative plaintiff. “Our lawsuit is the most formal complaint possible and this government has responded with three months of silence and inaction.”

Nickel-and-diming the student body

Students are in deep

Two students launched a $200-million class-action lawsuit earlier this month against Ontario colleges, arguing that illegal fees that violate the tuition freeze are being charged. And with the long list of extra fees colleges and universities nickel-and-dime students with, it’s easy to understand the motivation behind the suit.

Take Hamilton’s Mohawk College: journalism students are forced to "rent-to-own" a laptop for more than it would cost to buy a new one at the local electronics store — even if they already own one. But at least Mohawk’s students are getting something concrete for their $1,700 per year. Brock University has just started to charge a flat rate for full-time classes, which means that students taking four classes pay for five. The University of Toronto charges a fee for "transferring" when taking courses at different campuses.

Perhaps the most outrageous charges are the ones that hit students who make use of provincial student loans. Many colleges and universities require students to pay yearly tuition and residence costs up front in September, even though they receive their loans in two instalments. At McMaster University, students who can’t pay all at once get dinged with a $35 deferral fee plus interest. Those who need to pay for residence on an instalment plan that matches their student loan instalments pay $600 more for their room. At the University of Toronto’s St Michael’s College, interest on residence fees not paid in advance is 19 per cent. Students would be better off putting it on their credit card.

University presidents blame a lack of government funding for these fees. But the shortage certainly hasn’t affected their own paycheques, as remuneration for those heading Canada’s institutions of higher learning has increased dramatically. Over the past 10 years, for example, McMaster University president Peter George’s salary has more than doubled — to $422,945.04. Cry poor, indeed.

Students clash with college president over class-action lawsuit

Suit asks for $200-million from Ontario colleges to pay back illegal fees

Amanda Hassum and Dan Roffery, who are students at Conestoga College and George Brown College respectively, are suing Ontario colleges for $200-million, alleging that ancillary fees they paid were illegal. They are seeking damages for all students who have paid the fees since 2004. In Ontario, it is illegal for post-secondary institutions to enforce compulsory tuition-related ancillary fees. Compulsory non-tuition fees can only be charged if approved by a student referendum.

The Canadian Federation of Students(CFS), which is assisting the students in the lawsuit, claims that the average full-time college student paid $671 in ancillary fees during the 2005-2006 academic year. Their research indicates that between 1995 and 2004, revenue generated from these fees increased by 240 per cent.

"I noticed in my second year I was paying more, but I knew there was a tuition freeze on so I was really curious," Amanda Hassum told the Guelph Mercury. "I was just too scared to question my own college, figuring that they are not going to ask us to pay for things that we don’t have to pay for our education."

The students also accused the government of turning a blind eye to the colleges that were charging illegal fees. Minister Bentley responded in the past that his Ministry deals with every complaint received. After hearing no response in regard to the lawsuit, the plaintiffs took that advice and filed a formal complaint with the Ministry last week.

Despite the accusation, the students do not plan to add the Ontario government to the suit, according to CFS Ontario chairperson Jen Hassum. However, Murphy said in an interview that the Ministry was put on notice that the students were intending to add the Ministry to the suit in the beginning of August.

In response to Tibbits’ comment in the Cambridge Times, Jen Hassum could only say, "That was very brazen of him." The Times itself did not have a nice word for the Conestoga president either. "Tibbits is acting like the biggest dog in the yard," the paper wrote in an editorial. "You play by his rules or you don’t play at all."

Ontario government vows to curb illegal fees on heels of class action lawsuit

Reminds colleges of regulations governing fees

The Ontario government publicly announced that colleges cannot legally charge ancillary fees for academic or capital costs. The announcement came only days after two students launched a $200-million class action lawsuit against the provinces colleges, arguing that they have been charging the computer, laboratory, locker, and other fees illegally for years.

But the students are not letting the government off the hook. They threatened to name the government in the lawsuit as well for turning a blind eye to the fees. They also say that under-funding colleges led to college’s being forced to charge the fees.

“Ontario is ninth out of ten in government funding for colleges,” said Jesse Greener, Ontario Chairperson of the Canadian Federation of Students, a student lobby organization that is supporting the student lawsuit. “The government has essentially employed a strategy of under-funding in which they have allowed colleges to charge hidden tuition fees with a wink and a nod.”

But not all students agree that the fees are not appropriate. The student president at Sault College told the Sault Star that the charges were fair. He said that the student government has been monitoring the fees closely and new charges are always determined in consultation with students.

Students launch lawsuit against Ontario colleges

Class action suit accuses Ontario colleges of violating provincial ancillary fee law

Two students are launching a major class action lawsuit against a number of Ontario colleges, accusing the institutions of breaking provincial law by charging students ancillary fees. The Canadian Federation of Students(CFS)are also involved in the suit in an advocacy role.

Amanda Hassum and Dan Roffery, who are students at Conestoga College and George Brown College respectively, are suing Ontario colleges for $200 million, alleging that ancillary fees they paid were illegal. They are seeking damages for all students who have paid the fees since 2004. Hassum said that she was shocked to find out that the fees were “directly related to the capital costs of my education.”

In Ontario, it is illegal for post-secondary institutions to enforce compulsory tuition-related ancillary fees. Compulsory non-tuition fees can only be charged if approved by a student referendum.

In a press conference at provincial legislature, Hassum and Roffery argued that the government knew that the fees were being collected illegally and did nothing to stop the colleges. Their legal counsel Doug Elliot–whose firm Roy Elliott Kim O’Connor LLP won a $1-billion settlement last year for victims of the tainted-blood scandal–said that they intend to add the Ministry of Training, Colleges and Universities to the suit in the near future.

“There is an issue of concealment here because the colleges … used deceptive names to describe these fees to try to disguise the fact that they are improper fees,“ said Elliot.

“Premier McGuinty broke his promise to students by claiming to lock the front door [by freezing tuition] while leaving the back door wide open,” said Hassum.
Jesse Greener, CFS-Ontario chairperson, said that his organization is acting in a supportive role to assist the students but are not a plaintiff in the case. “We were asked to provide some analysis and so on,” said Greener. Hassum, one of the plaintiffs, is the sister of incoming CFS-O chairperson Jen Hassum.

Student societies at more than 80 universities and colleges, with more than 500,000 students, are members of the CFS, making it Canada’s largest student lobby group. The CFS conducts research and lobbies on a national and provincial level, as well as providing services such as student discount cards, health and dental programs, and discount travel.

Ontario colleges have been accused of going around the ancillary fee regulation by imposing mandatory locker rental fees, technology fees, and laptop lease fees(without the option of purchasing the laptop at the end of the lease). Ontario colleges have collected considerable funds from these fees and if the class action suit is successful, colleges could be required to repay those fees to past and present students. Earlier this year the College Student Alliance successfully fought similar fees at Sheridan College and Sault College.

A document released by the Ministry of Training, Colleges and Universities in July 2006 informed colleges they should not be charging fees for information technology, laboratory or library services, or mandatory leases of laptop computers. However, nothing was done to follow up.

Chris Bentley, Ontario Minister of Training, Colleges, and Universities, would not comment directly on matters that are soon to be before the courts.

“Ontario’s college students have been paying illegal fees for years and the Ontario government turned a blind eye,” said Roffery.