Section 14.48.130. Complaints.

   (a) A person claiming damage or loss as a result of an act or practice by a postsecondary educational institution or its agent, or both, which is a violation of this chapter or of the regulations adopted under this chapter may file with the commission a complaint against the institution or against its agent or both.  The complaint must set out the alleged violation and must contain other information as may be required by the commission.  A complaint may also be filed by the commission on its own motion or the attorney general.  A complainant may file with the commission as a representative of a class of complainants.
   (b) The commission shall investigate the complaint and may attempt to effect a settlement by persuasion and conciliation. A complaint may be considered after 30 days' written notice by registered mail to the institution or agent, or both, giving notice of a time and place for hearing on the complaint. The hearing shall be conducted in accordance with AS 44.62 (Administrative Procedure Act) by the office of administrative hearings (AS 44.64.010).
   (c) If, based on the evidence at a hearing, the commission finds that a postsecondary educational institution or its agent, or both, has engaged in an act or practice that violates this chapter or regulations adopted under this chapter, the commission
        (1) shall serve on 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) may award the individual or class of individuals named in the complaint full or partial restitution for damage or loss if the commission finds that the individual or class of individuals has suffered loss or damage as a result of the act or practice;
        (3) may impose the penalties provided for in AS 14.48.190;
        (4) may assess a civil fine, not to exceed $5,000, for costs of investigating and adjudicating a matter under this section; and
        (5) may, based on its own investigation and the evidence presented at the hearing, begin an action to revoke an institution's authorization to operate or an agent's permit.
   (d) If the commission makes an award under (c)(2) of this section to an individual who owes principal or interest to a lender for a loan received for the purpose of financing education provided by the institution, the institution, or surety, if applicable, shall pay the amount of the award that does not exceed the outstanding loan balance to the lender to be credited against the loan. Notwithstanding this subsection, the commission may, for good cause shown, order that all of the award be paid to an individual who receives an award from the commission.

Notes

Implemented As

20 AAC 17.130
20 AAC 17.135
20 AAC 17.140
20 AAC 17.145

References

20 AAC 17.130
20 AAC 17.145

History

(Sec. 1 ch 25 SLA 1976; am Sec. 13 ch 30 SLA 1992; am Sec. 5, 6 ch 112 SLA 1997; am Sec. 31 ch 163 SLA 2004)