Penalty Amount
$5,000,000
Connecticut Attorney General William Tong announced a $5 million settlement with Stone Academy and its owners for unfair and deceptive conduct. The defunct for-profit nursing school misrepresented its programs and failed to provide promised education, abruptly closing in February 2023. The settlement provides cash compensation to harmed students and bars the owners from higher education employment.
The settlement includes a $5 million cash payment for student compensation, with $150,000 allocated for exit exam preparation. Stone Academy's former owners must bar Joseph Bierbaum from higher education employment for five years and notify the Attorney General if they seek to operate new for-profit schools in Connecticut. Additional measures include remedial programs and partnerships for students to complete their education, and the Department of Public Health will end licensure investigations based solely on Stone attendance.
In-house legal teams should review contracts with educational service providers to ensure that all representations about program quality, duration, resources (e.g., textbooks, clinical training), and outcomes (e.g., licensure preparation) are accurate and supported by contractual obligations. Include specific performance metrics, refund mechanisms for unmet services, and termination rights. Also, consider indemnification for misrepresentation and require vendors to maintain necessary accreditation and qualified staff.
Entity
Stone Academy
Industry
EducationOfficial Press Release
https://portal.ct.gov/ag/press-releases/2025-press-releases/attorney-general-tong-statement-regarding-court-approval-of-settlement-with-stone-academy
https://www.stoneacademyclassaction.com/
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
"Stone Academy"
"$5 million settlement"
"unfair and deceptive conduct at the defunct for-profit nursing school"
$5.0M
Connecticut Attorney General William Tong announced a $5 million preliminary settlement with Stone Academy and its owners for unfair and deceptive conduct. The for-profit nursing school failed to deliver promised education, lacking textbooks, experienced teachers, and clinical training, and abruptly closed in February 2023. The settlement provides cash payments to harmed students, bars the owner from higher education employment for five years, and includes measures to help students complete their education.
Connecticut Attorney General William Tong expanded the complaint against Stone Academy, alleging its owners siphoned millions for personal luxury while students were denied promised education and clinical training. Revenues surged during the pandemic, but exam pass rates fell and students lacked textbooks and qualified teachers. The AG seeks civil penalties, restitution, and a receiver to protect assets for student relief.
Attorney General William Tong refuted Stone Academy's attempts to blame regulators for its abrupt closure, detailing the school's own misconduct and harm to students. He is leading an investigation into potential violations of the Connecticut Unfair Trade Practices Act and demands full financial disclosure and resources from Stone to assist affected students.
Connecticut Attorney General William Tong sought a court order to compel the owners of Stone Academy, a for-profit nursing school, to comply with civil investigative demands following the school's abrupt closure. The investigation examines potential violations of the Connecticut Unfair Trade Practices Act, including issues with clinical instruction hours, faculty qualifications, and student transcript accuracy, which left students' education plans in limbo.
$2.0M
Attorney General Tong and a coalition of four other states and the FTC sued Zillow and Redfin after Zillow paid Redfin $100 million to shut down its multifamily rental advertising business and transfer clients to Zillow. The settlement requires the companies to restore competition, with Redfin rebuilding its apartment advertising business, and pay $2 million to the coalition.
Attorney General William Tong sent a letter to the Connecticut Insurance Department urging rejection of double-digit rate increases sought by Anthem, ConnectiCare, and UnitedHealthcare for individual and small group health insurance plans covering about 220,000 people. The letter argues the rates exceed inflationary measures and criticizes the carriers for failing to control costs and for poor claims system management, particularly ConnectiCare's transition to Molina Healthcare.