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Attorney General Ken Paxton Sues School Illegally Operating as “TexAM” for Offering Unauthorized Degrees and Misleading Texans

Texas American Muslim UniversityMay 18, 2026Texas Attorney General

Summary

Texas Attorney General Ken Paxton filed suit against Texas American Muslim University (TexAM) for operating without required state authorization, offering unauthorized degrees, and misleading prospective students. TexAM lacked the necessary certificate of authority to operate as a private postsecondary institution, had a forfeited nonprofit corporate charter, and used branding confusingly similar to Texas A&M University. The AG seeks injunctive relief and civil penalties exceeding $1 million for violations of the Deceptive Trade Practices Act (DTPA) and Texas Education Code.

Contract Impact

In-house legal teams at educational institutions or entities contracting with educational providers should review vendor and partnership agreements for clauses related to confirmation of valid certificates of authority, accreditation status, and degree-granting authorization from relevant state agencies. Teams should also include clauses requiring vendors to maintain active corporate charters, avoid trademark infringement (including confusingly similar branding to established institutions), and promptly disclose any cease and desist orders or regulatory actions. Additionally, agreements should include representations and warranties regarding the legality of offered degrees and programs to protect against liability from deceptive practices.

Contract Search Terms

certificate of authoritydegree granting authorizationaccreditation statustrademark confusing similaritycorporate charter validitycease and desist compliance

Laws Cited

DTPATexas Education Code

Violation Types

Entity Details

Entity

Texas American Muslim University

Industry

Education

Official Sources

Source Evidence

Entity Name
"Texas American Muslim University"
Laws Cited
"violations of the DTPA and the Texas Education Code"
Fine Amount
"civil penalties exceeding $1 million"
Summary
"unlawfully presenting itself as a university, offering degrees it is not authorized to grant, and misleading prospective students about its legitimacy"
Event Date
"May 18, 2026"

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