§ 665-A — Institutional participation in award programs

§ 665-a. Institutional participation in award programs. 1.\nParticipation agreement. No institution may participate in the general,\nacademic or other award programs described in this article unless it\nshall have entered into a written agreement with the corporation under\nwhich it shall be bound to comply with all laws and rules applicable to\nsuch programs. The participation agreement may contain such other terms\nand conditions, consistent with such applicable laws, rules and\nprocedures, as the president may require in accordance with rules\nadopted for this purpose by the board and shall be developed in\nconsultation with the commissioner of education.\n In accordance with rules adopted by the board for this purpose, the\npresident, may suspend, limit or terminate an institution's\nparticipation in these programs in the event it shall be determined\nafter a hearing conducted in accordance with the state administrative\nprocedure act that the institution has violated any applicable laws,\nrules or procedures provided for under the agreement in accordance with\nlaw and the rules of the board.\n 2. Reports. In accordance with rules adopted by the board for this\npurpose, the president may require an institution participating in the\ngeneral, academic and other award programs to certify on such forms as\nthe president may prescribe at the commencement of its semester, term or\nother period of attendance, or at such other times as the president may\ndirect, the manner in which the records are being maintained to\ndemonstrate the eligibility of the students the institution certifies as\neligible for the receipt of awards under the provisions of subdivision\nthree of section six hundred sixty-five of this article during such\nsemester, term or period of attendance. The president may suspend, limit\nor terminate an institution's participation in the general, academic and\nother award programs administered by the corporation in the event it\nshall be determined after a hearing conducted in accordance with the\nstate administrative procedure act that the institution has failed or\nrefused to submit such certified report after written demand therefor,\nor shall have willfully submitted a materially false report.\n 3. Contingencies on the receipt of state funding. (a) An institution\nshall not, as a condition of any award or loan pursuant to this article,\nrequire any student to:\n (i) submit to mandatory arbitration to resolve any matter relating to\nsuch award or loan prior to the commencement of any legal action to\nenforce an entitlement thereto;\n (ii) resolve a complaint relating to any award or loan through an\ninternal dispute process;\n (iii) waive any right, forum, or procedure for a violation of any\nprovision of this chapter, including the right to file and pursue a\ncivil action, class action or a complaint with, or otherwise notify, any\nstate agency, other public prosecutor, law enforcement agency, or any\ncourt or other governmental entity of any alleged violation; or\n (iv) be prohibited from disclosing, discussing, describing or\ncommenting upon the terms of the agreement or any violation thereof.\n (b) An institution shall not threaten, retaliate or discriminate\nagainst any student eligible for such award or loan because of the\nrefusal by such student to consent to mandatory arbitration, to resolve\na complaint through an internal dispute process, to waive any right,\nforum, or procedure for a violation of this chapter, including the right\nto file and pursue a civil action, class action or a complaint with, or\notherwise notify, any state agency, other public prosecutor, law\nenforcement agency, or any court or other governmental entity of any\nalleged violation, or not to disclose, discuss, describe or comment upon\nthe terms of the agreement or any violation thereof.\n (c) For purposes of this subdivision, an agreement that requires a\nstudent to opt out of a waiver or take any affirmative action in order\nto preserve their rights is deemed a condition that violates paragraph\n(a) of this subdivision.\n (d) In addition to injunctive relief and any other remedies available,\na court may award a prevailing plaintiff enforcing their rights under\nthis subdivision reasonable attorneys' fees.\n (e) Nothing in this subdivision is intended to invalidate a written\narbitration agreement that is otherwise enforceable under the Federal\nArbitration Act.\n