CRAWFORD v. AMERICAN INSTITUTE OF PROFESSIONAL

Nos. CIV 94-2402 PHX CAM, CIV 95-0366 PHX CAM, CIV 95-0376 PHX CAM and CIV 96-0646 PHX CAM.

934 F.Supp. 335 (1996)

Sandra CRAWFORD, et al., Plaintiffs, v. The AMERICAN INSTITUTE OF PROFESSIONAL CAREERS, INC., et al., Defendants. Vickie LEE, Plaintiff v. RESOLUTION TRUST CORPORATION, in Its Capacity as Receiver for Security Savings and Loan Association, et al., Defendants. Sandra CRAWFORD, Plaintiff, v. RESOLUTION TRUST CORPORATION, in Its Capacity as Receiver for Merabank, et al., Defendants. Colleen ROSE, Plaintiff, v. FEDERAL DEPOSIT INSURANCE CORPORATION, Statutory Successor to the Resolution Trust Corporation the Court Appointed Receiver for Merabank, Defendant.

United States District Court, D. Arizona.

May 17, 1996.


Attorney(s) appearing for the Case

Jerry C. Bonnett, H. Sullivan Bunch, Elaine Ann Ryan, Bonnett Fairbourn Friedman, Heinton Miner & Fry P.C., Phoenix, AZ, Thomas Michael Ryan, Thomas M. Ryan & Associates, Chandler, AZ, for plaintiffs Sandra Crawford, Jennifer Heath, Jessica Casto, Brenda Martinez, Betsy Foy, Nancy Love, Yvonne Rubalcaba, Amy Beard, Melissa Prator.

Barry R. Sanders, Ryley Carlock & Apple-white P.A., Phoenix, AZ, W. Scott Bales, Meyer Hendricks Victor Osborn & Maledon P.A., Phoenix, AZ, Stephen E. Richman, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, Barry Fish, Steven J. Labensky, Carl F. Mariano, Todd Arthur Rigby, Lewis & Roca, Phoenix, AZ, for defendant American Institute of Professional Careers, Inc.

Barry Fish, Steven J. Labensky, Carl F. Mariano, Todd Arthur Rigby, Lewis & Roca, Phoenix, AZ, for defendants Ann F. Kennedy, William I. Kennedy, III, Katherine K. Lessard, Douglas A. Lessard.

W. Scott Bales, Meyer Hendricks Victor Osborn & Maledon P.A., Phoenix, AZ, David B. Rosenbaum, Osborn Maledon P.A., Phoenix, AZ, for defendants Union Bank and Trust Co., First Interstate Bank of Arizona, N.A.

Barry R. Sanders, Ryley Carlock & Apple-white P.A., Phoenix, AZ, for defendant Integra National Bank/North.

P. Bruce Converse, Gary L. Birnbaum, Mariscal Weeks McIntyre & Friedlander P.A., Phoenix, AZ, for defendant First Bank N.A.

Stephen E. Richman, Christopher Robbins, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, David H. Carmichael, Bennett Burke & Carmichael L.L.P., Scottsdale, AZ, for defendant Wyoming Student Loan Corporation.

Stephen E. Richman, Christopher Robbins, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, for defendants Nebraska Higher Education Loan Program, Texas Guaranteed Student Loan Corp., Nebraska Student Loan Program.

Steven Walter Cheifetz, Claudio Eduardo Iannitelli, Cheifetz & Iannitelli P.C., Phoenix, AZ, for defendant Navy Federal Credit Union.

Frank L. Murray, John Charles Josefsberg, Morrison & Hecker, Phoenix, AZ, for Bank One.

Stephen E. Richman, Christopher Robbins, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, Henry Samuel Weinstock, Nossaman Guthner Knox & Elliott, Los Angeles, CA, Robert S. Lavet, Student Loan Marketing Assoc., Washington, DC, for defendant Student Loan Marketing Association.

Katherine Harmeyer, Snell & Wilmer L.L.P., Phoenix, AZ, for defendant Arizona Educational Loan Marketing Corporation.

Clarke H. Greger, Barry R. Sanders, Ryley Carlock & Applewhite P.A., Phoenix, AZ, for defendant Bank of America.

Henry Samuel Weinstock, Nossaman Guthner Knox & Elliott, Los Angeles, CA, for defendant Student Educational Loan Marketing Corp.

Richard A. Segal, Gust Rosenfeld, Phoenix, AZ, for defendant United Student Aid Funds, Inc.

Christopher Robbins, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, for defendant Northstar Guarantee, Inc.

David J. Hershman, Chicago, IL, for defendant Illinois Student Assistance Foundation.

J.W. Hernandez-Cuebas, N.Y. State Higher Education Svc. Corp., Albany, NY, for defendant New York State Higher Educ. Services Corp.

Stephen E. Richman, Christopher Robbins, O'Connor Cavanagh Anderson Westover Killingsworth & Beshears, Phoenix, AZ, Ann Smith, Michael Best & Friedrich, Madison, WI, for defendant Great Lakes Higher Education Corporation.

Roger W. Dokken, U.S. Attorney's Office, Phoenix, AZ, John G. Interrante, J. Christopher Kohn, Robert M. Hollis, U.S. Dept. of Justice, Washington, DC, Janet Napolitano, United States Attorney, Phoenix, AZ, Frank W. Hunger, U.S. Dept. of Justice, Federal Programs Branch, Civil Division, Washington, DC, for defendant United States Department of Education.

David C. Tierney, James W. Armstrong, Sacks Tierney & Kasen P.A., Phoenix, AZ, Jerry C. Bonnett, H. Sullivan Bunch, Elaine Ann Ryan, Bonnett Fairbourn Friedman, Heinton Miner & Fry P.C., Phoenix, AZ, Mary Gillen Fenske, Kenneth John Ingram, Whiteford Taylor & Preston, Washington, DC, for defendant Accrediting Council for Independent Colleges and Schools.

William W. Drury, Jr., Renaud Cook Videan Geiger & Drury P.A., Phoenix, AZ, for defendant National Court Reporters Ass'n.

Ralph D. Harris, Burch & Cracchiolo P.A., Phoenix, AZ, for defendant CitiBank (New York State).

Roger W. Dokken, U.S. Attorney's Office, Phoenix, AZ, John G. Interrante, J. Christopher Kohn, Robert M. Hollis, U.S. Dept. of Justice, Washington, DC, Janet Napolitano, United States Attorney, Phoenix, AZ, Frank W. Hunger, U.S. Dept. of Justice, Federal Programs Branch, Civil Division, Washington, DC, for cross-claimant U.S. Dept. of Educ.


ORDER

MUECKE, District Judge.

Having considered defendants Student Education Loan Marketing Corporation's [SELMAC] and Arizona Educational Loan Marketing Corporation's [AELMAC] motion to dismiss for failure to state a claim, the court concludes as follows:

Background

Plaintiffs allege in their third amended complaint that in reliance on misrepresentations by American Institute they enrolled in its court reporting program and took...

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