California Superior Court in San Francisco Strikes Down Student Class Action Lawsuit and Finds for Academy of Art University

In an attempt to piggyback on a resolved dispute between the Academy of Art University and The City and County of San Francisco, [San Francisco’s McGrane Law Firm and] Academy of Art University students Margaret Bassler and Chloe Stanfield filed a meritless class action lawsuit claiming that they were subject to the San Francisco Rent Ordinance while residing in Academy of Art University dormitories. On September 30, 2022, San Francisco Superior Court Judge Suzanne Ramos Bolanos struck down the lawsuit in its entirety finding that the students living in dormitories were not tenants as defined by the San Francisco Rent (Admin) Code and entered judgment in favor of the Academy of Art University. The Court further found that the City was adequately represented in a settled dispute where the Academy of Art University partnered with the City of San Francisco by contributing $58 million dollars to combat the City’s housing crisis.

In the matter entitled Margaret Bassler & Chloe Stanfield v. Stephens Institute (Academy of Art University), San Francisco Superior Court Case No. CGC-17-557866, the Superior Court of California entered judgement in favor of the Academy of Art University on November 8, 2022.