Title 13 Chapter 34 Section 110

Commerce and Trade
Utah Postsecondary Proprietary School Act
Section 110
Enforcement of contracts or agreements -- Rescission based on defective registration statement.

            

13-34-110.   Enforcement of contracts or agreements -- Rescission based on defective registration statement.

            (1) A proprietary school shall be unable to enforce in the courts of this state any contract or agreement relating to postsecondary education services in this state unless, at the time the contract or agreement was entered into, an effective registration statement was on file with the division and made accessible to every applicant at the time of admission to the school.

            (2) It is a violation of this chapter if a proprietary school or its agent:

            (a) fails to file an effective registration statement;

            (b) willfully omits from a registration statement provided under Section 13-34-107 or an application under Section 13-34-107.5 for an exemption certificate any material statement of fact required by this chapter and applicable regulations; or

            (c) includes in a registration statement any material statement of fact that was known, or should have been known, to the proprietary school to be false, deceptive, inaccurate, or misleading.

            (3) A student who enrolled in a proprietary school, in reliance upon the school's registration statement, may rescind the contract or agreement of enrollment and obtain a refund from the school of all tuition, fees, and other charges paid to the school if the school or its agent committed a violation under Subsection (2).

            (4) A violation of this chapter is also a violation of Section 13-11-4.


Amended by Chapter 221, 2011 General Session