LSAC Hit with Class Action Over Alleged “Pay-to-Play” Fees

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The Law School Admission Council (LSAC) is facing a major class action lawsuit in federal court in Philadelphia, accused of engaging in anticompetitive practices by inflating law school application platform fees—allegedly collecting over $30 million annually and charging applicants about $500 on average each Wikipedia+7Reuters+7Bloomberg Tax+7.

Key Allegations

Filed by the law firm Hilgers Graben, the lawsuit argues that LSAC conspired with its member law schools under Sherman Act Sections 1 and 2 and the Clayton Act. The complaint claims LSAC has created a de facto monopoly in law school admissions platforms, suppressing competition to keep its fees high Reuters+1.

  

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Plaintiff Linvel Risner alleges these inflated fees are part of a “pay‑to‑play” scheme. Specifically, he contends LSAC not only overcharges applicants but also uses the excess revenue to provide financial incentives to member schools—thereby preserving their loyalty and dampening any incentive for them to seek or support alternative, lower‑cost application methods.

LSAC’s Response

An LSAC spokesperson firmly denies the allegations, stating that the organization is committed to “expanding access to legal education and supporting prospective students every step of their journey to law school” Reuters+1.

Broader Context

The lawsuit is part of a broader wave of litigation challenging costly centralized application systems in higher education. A similar suit has also been lodged against the Association of American Medical Colleges (AAMC), which allegedly collects over $50 million in application fees annually for medical school candidates Reuters+2Bloomberg Tax+2.

Legal and Market Implications

• Antitrust scrutiny intensifies: The case underscores growing concern over lack of competition in essential educational services.
• Potential repercussions: Should the court find in favor of the plaintiffs, LSAC and similar organizations could face injunctions, damages, and pressure to overhaul their pricing structures.
• Cost for applicants: Applicants typically must pay LSAC’s Credential Assembly Service on top of individual school application fees—creating a significant financial burden

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