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January 10, 2025

Tong announces $5M preliminary settlement with Stone Academy and its owners

YEHYUN KIM | CT MIRROR A closed building of Stone Academy in West Haven. After the nursing school abruptly closed on Feb. 15, educational plans of hundreds of students are left in limbo. Attorney General William Tong launched an investigation into potential violations of the Connecticut Unfair Trade Practices Act by the for-profit organization in February.
By Andrew Larson

Attorney General William Tong announced on Friday a $5 million preliminary settlement with Stone Academy and its owners, which would resolve claims that the private, for-profit nursing school deprived students of their rights to academic credits and degrees when it abruptly closed in February 2023.

The proposed settlement would resolve all claims filed by the state stemming from the school’s alleged unfair and deceptive conduct, Tong said.

“Stone Academy unconscionably deprived its students of the education and opportunities they were promised,” Tong said. “Those wasted hours and deferred dreams are impossible to fully recover.”

According to the announcement, Stone “promised an education that would position students to become Licensed Practical Nurses in less than two years, with hands-on training from industry leaders.”

When the school closed, it left those students in limbo and with “little to show for their investments in time and money.” 

“While students struggled with subpar materials in unheated classrooms, the state’s investigation revealed that Stone took in millions of dollars in revenues and continued to enroll new students into its programs,” the announcement states.

Tong’s office said the state will not retain any of the $5 million, aside from $150,000 to help Stone students prepare for exit exams.

Compensation to impacted students will be determined through a private class action process.

Students filed a class action lawsuit in May 2023 against the school, alleging breach of contract and violations of the Connecticut Unfair Trade Practices Act.

The proposed settlement also bars Stone’s owner, Joseph Bierbaum, from employment anywhere in higher education for five years.  
 
The terms of the preliminary settlement were filed in Hartford Superior Court Friday. A hearing will be scheduled for a judge to review and potentially approve the settlement.
 

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