12 INVESTIGATES: RSHT goes into mediation with students after lawsuit

HENRICO, VA (WWBT) - A lawsuit calling a "for-profit" college in Henrico County a sham, may never go to trial.

According to court documents, a settlement has been reached in the class action suit against the Richmond School for Health and Technology.

The two sides went into mediation and agreed to some sort of settlement - how much money the settlement could be is unknown.

LaDeva Dabney signed on to the suit last summer.

"If you go to the store and you buy something that's not good, what do you do? You take it back and get a refund. I can't take my degree back and get a refund," said Dabney.

Dabney and seven other plaintiffs - like Amanda Smith - make similar claims.

The students say the school, which has a campus at Willow Lawn in Henrico and another in Chester, is in "breach of contract" and encourages students to take out large loans for an education the schools knows is inadequate.

They went to the school to become surgical technicians, medical assistants, and billing encoders. These students say they left RSHT without any preparation for certification or licensing tests.

They promised 15 weeks of clinicals and employee job placement and all that," said Smith. "Of course, they didn't follow through with any of it."

Amanda Smith owes $20,000 in student loans. LaDeva Dabney is saddled with more than $13,000 in debt.

The school's owner, Margaret Knight, said last summer that the allegations are "unfounded" and "offensive."

All sides need to agree to this deal and the judge won't let any of the lawyers talk about this tentative settlement unless it is finalized.

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