This is a pending class action lawsuit against Western Culinary Institute and Career Education Corporation alleging that both companies engaged in a systematic effort to mislead consumers about the value of the Western Culinary Institute's for profit education.
Western Culinary Institute operates a for profit culinary training program in Portland, Oregon. Western Culinary Institute is a wholly owned subsidiary of Career Education Corporation, which owns and operates several culinary schools including "Le Cordon Blue".
Former students at the Western Culinary Institute have alleged that the Western Culinary Institute made false representations regarding the value of its education program, including the true benefit of its degree, nature of ongoing career placement, job placement rates and academic standards of its enrollment policies. The alleged false representations specified in the class action lawsuit include:
1. Western Culinary Institute represented that it placed over 90% of its graduates in culinary-related jobs, but failed to disclose that the 90% placement rates included job categories such as dishwashers, baristas, waiters, line cooks and counter help (jobs that required no training or degree).
2. Western Culinary Institute represented that a degree from the Institute would qualify a graduate to become a chef or restaurant manager, which is not true.
3. Western Culinary Institute represented that it had high enrollment standards, but in fact Western Culinary Institute would admit any person who could qualify for government sponsored tuition financing.
4. Western Culinary Institute represented that it provided post graduation career placement assistance, but in fact Western Culinary Institute's "job assistance" consisted of compiling posted job openings from publicly available sources like Craig's List and local help wanted ads that were accessible to anyone.
5. Western Culinary Institute failed to disclose to students that the probable job opportunities upon graduation would not support there student loans.
6. Western Culinary Institute and Career Education Corporation failed to disclose that the student loan rates would be favorable to them but not to the students.
Name (Stock Symbol)
Career Education Corporation (CECO)
Career Education Corporation operate for profit colleges and schools, including the following: Le Cordon Bleu Schools North America; Harrington College of Design; Brooks Institute; International Academy of Design & Technology; American InterContinental University; Colorado Technical University and Sanford-Brown Institutes and Colleges.
Western Culinary Institute Ltd.
Western Culinary Institute Ltd operates the Western Culinary Institute in Portland, Oregon, which is a for profit educational company that offers training in culinary arts, baking, and hospitality programs.
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