How do you define a “nonprofit” educational institution under the Higher Education Act? The 9th Circuit Court of Appeals has said that the Department of Education utilized the wrong standard in rejecting the successor to a for-profit university. Grand Canyon University had been a nonprofit school for most of its history. But when it experienced significant financial trouble in the early 2000s, it sought to avoid bankruptcy by selling the school to private investors who operated it as a for-profit entity. After operating successfully as a for-profit for several years, the Board of Trustees decided to return to a nonprofit status for a variety of reasons. The Board established an Arizona...