49-7-2011 - Complaints against institution or agent.
49-7-2011. Complaints against institution or agent.
(a) (1) Any person claiming damage or loss as a result of any act or practice by a postsecondary educational institution or its agent, or both, that is a violation of this part or of the rules and regulations promulgated under this part, may file with the commission a verified complaint against the institution or against its agent, or both.
(2) The complaint shall set forth the alleged violation and shall contain other information that may be required by the commission.
(3) A complaint may also be filed with the commission by the executive director of the commission, or a commissioner, or the attorney general and reporter.
(4) A complainant may also file with the commission as a representative of a class of complainants.
(b) (1) The commission shall investigate the complaint and may, at its discretion, attempt to effectuate a settlement by persuasion and conciliation.
(2) The commission may consider a complaint after ten (10) days' written notice by registered mail, return receipt requested, to the institution or to the agent, or both, as appropriate, giving notice of a time and place for hearing on the complaint.
(c) (1) If, upon all the evidence at a hearing, the commission finds that a postsecondary educational institution or its agent, or both, has engaged in or is engaging in, any act or practice that violates this part or the rules and regulations promulgated under this part, the commission shall issue and cause to be served upon the institution or agent, or both, an order requiring the institution or agent, or both, to cease and desist from the act or practice.
(2) Additionally, if the commission finds that the complainant, or class of complainants, has suffered loss or damage as a result of the act or practice, the commission may, at its discretion, award the complainant, or class of complainants, full or partial restitution for the damage or loss and may impose the penalties provided for in § 49-7-2017(a).
(3) The commission may also, as appropriate, based on its own investigation or the evidence adduced at the hearing, commence an action to revoke an institution's authorization to operate or an agent's permit.
(d) Nothing in this section shall be construed to prohibit the use of nonbinding mediation to settle disputes arising between a postsecondary institution and its enrollees, nor the inclusion of a mediation clause in enrollment contracts.
[Acts 1961, ch. 112, § 14; 1974, ch. 781, § 14; T.C.A., § 49-3914; Acts 1992, ch. 1026, § 5.]