
Grand Canyon University (GCU), the largest Christian university in the nation, is celebrating another major legal victory after years of high-profile clashes with the federal government. Just months after the U.S. Department of Education rescinded a historic $37.7 million fine, the Federal Trade Commission (FTC) has now dropped its lawsuit against the school, marking what GCU leaders call a triumph of truth and faith over political targeting.
FTC Drops Case Against GCU
The FTC filed a suit in late 2023, accusing GCU of deceiving doctoral students about costs and engaging in improper telemarketing practices. However, on Friday, the Commission announced it was unanimously dismissing the case against GCU’s largest service provider, Grand Canyon Education, and university president Brian Mueller.
“This case, which we inherited from the previous administration, was filed nearly two years ago and has suffered losses in two motions to dismiss,” FTC Chairman Andrew Ferguson and Commissioners Melissa Holyoak and Mark Meador wrote in a joint statement. They noted that continuing the case would provide “very little upside relative to the cost of pursuing it to completion.”
Citing taxpayer responsibility, the FTC declared it “imprudent” to expend further resources. All parties filed a joint stipulation of dismissal with prejudice, closing the matter once and for all.
GCU Calls Lawsuits ‘Unjust’
GCU President Brian Mueller wasted no time in celebrating the decision while also criticizing what he sees as a years-long campaign of hostility against his university under the Biden administration.
“As we have stated from the beginning, not only were these accusations false, but the opposite is true,” Mueller said in a statement. “We go above and beyond what is required in our disclosures and are recognized as a leader in this area.”
He added: “They threw everything they had at us for four years, and yet, despite every unjust accusation leveled against us, we have not only survived but have continued to thrive as a university. That is a testament, first and foremost, to the strength and dedication of our faculty, staff, students and their families. Above all, it speaks to our unwavering belief that the truth would ultimately prevail.”
The $37.7 Million Fine That Sparked National Headlines
The FTC victory comes just months after GCU defeated the Department of Education’s attempt to levy the largest fine in its history. In 2023, the Department accused GCU of misleading 7,500 doctoral students about the true cost of completing their degrees and imposed a staggering $37.7 million penalty.
GCU denied the allegations and refused to pay even a dollar of the fine, with Mueller insisting that “not only is it not true, the opposite is true.”
Earlier this year, the Department reversed its decision, acknowledging there was no substantial evidence that GCU had misled students. The reversal was a huge win for the university, which Mueller described as proof that “the truth would prevail.”
A Long Road of Struggles
The dispute with the federal government dates back six years, when GCU restored its nonprofit status with IRS and state approval. The Department of Education, however, refused to recognize the change, sparking years of tension and multiple investigations.
Mueller claims the government’s actions were retaliatory, saying, “Once we filed a complaint, they started retaliation and they opened up five different investigations that literally cost us millions of dollars to defend ourselves.”
Despite the challenges, GCU has continued to grow. Once a struggling school saddled with debt, GCU reinvented itself over the past decade and is now thriving, with a booming online program and a vibrant Phoenix campus.
Faith at the Center
Throughout the ordeal, Mueller has been outspoken about his belief that God’s hand has been guiding GCU through the storm.
“We know that God is doing something real here in the furthering of His Kingdom, and we weren’t going to allow somebody to get in the way of that,” he said. “We are being used by God in the furthering of His purposes.”
He also expressed gratitude for the resilience of the GCU community, crediting students, faculty, staff, and families for standing strong in the face of adversity.
Looking Ahead
With the FTC case dismissed and the Education Department fine rescinded, GCU appears to have closed one of the most turbulent chapters in its history. Leaders say the university is now free to focus entirely on its mission: providing accessible Christian higher education and preparing graduates to serve God’s kingdom.
For Mueller, the outcome is both a relief and a reminder of God’s faithfulness. “They threw everything at us,” he said, “and yet we have not only survived but thrived. That is only because the truth, and ultimately the Lord, prevailed.”