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Apr 1, 2026

University of Southern California $225 Settlement for Unlawful Student Late Fees

Settlement Image

The University of Southern California $225 Settlement for Unlawful Student Late Fees settlement offers $2M in total, with individual payouts of $225 to eligible claimants who be a current or former student of the university of southern california (usc).. The deadline to file is June 5, 2026. Proof of purchase is not required.

Deadline
22 days remaining

Deadline: June 5, 2026

Total Settlement Amount
$2M

Total amount allocated for all claims

Individual Payout Range
$225

Estimated amount per eligible claim

Proof of Purchase
Not Required

No proof of purchase needed — anyone eligible can file a claim

No proof is required to receive a payment: USC will calculate each claimant's payment from its own student-account records. To file you must use the unique ID emailed to class members and submit an online or mailed claim form by June 5, 2026. If you dispute USC's records, you may submit a written dispute with supporting documents to the claims administrator, who has sole authority to resolve disputes.

Settlement Summary

Two former students sued the University of Southern California, alleging that routine charges—Late Registration Fees, Late Settlement Fees, and monthly Finance Charges—were unlawful penalties under California law because they were not reasonable estimates of USC’s actual costs for late payments. The parties reached a settlement (no court ruling on the merits) covering fees charged between July 14, 2016 and March 4, 2026: eligible current and former students can receive 30% of unreimbursed late fees up to $225 per person (USC will calculate amounts from its records), with a class-wide claims fund capped at $2 million; claim deadline is June 5, 2026, opt-outs/objections are due May 4, 2026, and a fairness hearing is set for July 1, 2026. The settlement also requires USC to waive at least 30% of late fees for two years and pause monthly finance charges for a 10-week period, while attorneys’ fees (up to $1,135,000) and service awards are paid separately. This case matters because California Civil Code sections 1671 and 3275 and the state’s Unfair Competition Law restrict fee structures that operate as penalties rather than reasonable pre-estimates of loss, so the settlement signals increased scrutiny of colleges’ billing practices and could prompt other institutions to revise fee policies and disclosures. Similar suits have challenged excessive administrative or penalty fees in higher education, housing, and consumer finance, and regulators and courts increasingly emphasize transparency and proportionality in non-contractual charges; students who want recovery must file a claim by the deadline (only the student may file if someone else paid) or they will remain bound by the settlement terms.

Entities Involved

University of Southern California
USC
Alejandra Chaisson
Grace Chong
Smith Krivoshey PC
Bursor & Fisher PA
Scholarship America, Inc.
Superior Court of California, County of Los Angeles
USCFeeSettlement.com
Chaisson, et al. v. University of Southern California (Case No. 20STCV27062)
PayPal
Zelle
California Civil Code sections 1671 and 3275
California Unfair Competition Law

Related Topics

USC late fee settlement
University of Southern California refund
USC late fees class action
late registration fee refund
late settlement fee claim
student finance charge refund
Chaisson v. USC
file USC claim June 5 2026
up to $225 refund
$2 million settlement
student account credit USC
Scholarship America unclaimed funds
California unlawful penalty fees
California Unfair Competition Law

Eligibility Requirements

  • Be a current or former student of the University of Southern California (USC).
  • Have been charged one or more of these fees between July 14, 2016 and March 4, 2026: Late Registration Fee, Late Settlement Fee, or monthly Finance Charges.
  • Not have already received a full refund or waiver of the late fees for which you claim reimbursement.
  • Only the student may submit the claim even if tuition/fees were paid by a parent, guardian, or third party.
  • File a valid claim by the deadline (June 5, 2026) using the unique ID emailed to class members; each unique ID may be used only once.

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Important Notice About Filing Claims

Submitting false information in a settlement claim is considered perjury and will result in your claim being rejected. Fraudulent claims harm legitimate class members and may result in legal consequences.

If you are unsure about your eligibility for this settlement, please visit the official settlement administrator’s website using the link provided above. Review the eligibility criteria carefully before submitting a claim.

Class Action Champion is an independent information resource and is not affiliated with any settlement administrator, law firm, or court. We provide settlement information as a service to help connect eligible class members with legitimate settlements.

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