Iowa City Based ACT to Pay $16 Million in Settlement

IOWA CITY, Iowa - Iowa City based college admissions testing company ACT Inc. is paying $16 million to students who accused it of providing disability information without their permission.

ACT signed a settlement stating it also excluded those students from a college recruitment program.

The company has denied any wrong doing in the lawsuit filed in California in 2018, and says it entered the settlement to avoid the costs of an ongoing lawsuit.

The parties engaged in mediation and agreed to the settlement after years of litigation.

ACT, Inc. is a 501(c)(3) nonprofit organization that employs more than 1,000 people in Iowa City. It was founded in 1959.

(Image from ACT Facebook page)

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