Company: LGCY
Filing Date: 2025-02-13
Form Type: 10-Q
Source: 0001493152-25-006418
Chunk: 91

Company: Legacy Education Inc.
Filing Date: 2025-02-13
Form: 10-Q
Item: Part I, Item 8
Chunk 91
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 in effect during ED’s review of the change of ownership.

CCMCC’s TPPPA contains conditions on its participation
in the Title IV Programs that are typically imposed by ED when a change of ownership occurs. These conditions include restrictions on
growth (e.g., the addition of new programs and locations, increase in credential level, change in program length), bi-weekly and monthly
financial reporting, and a reporting requirement related to certain types of student complaints. If CCMCC does not timely comply with
these reporting requirements, or its reports contain information of concern to ED, ED may request further information from CCMCC or the
Company or take action against CCMCC or the Company.

We cannot predict the timing or outcome of
ED’s review of the change of ownership of CCMCC. The
time required for ED to act on such an application for approval of a change of ownership resulting in a change of control may vary
substantially. ED recertification of an institution following a change of control will be on a provisional basis if ED approves the
institution’s application and could contain restrictions or conditions depending on the outcome of its review of the
institution under the new ownership including its administrative capability and financial stability. See Annual Report at Form 10-K
at “Education Regulations” and “School Acquisitions.”

The
approval processes for state and accrediting agencies vary in scope and timing with some agencies requiring approval prior to the acquisition
and others not conducting their review until after the acquisition has taken place. With regard to the agencies that accredit CCMCC and
CCMCC Online, authorize them to operate in the state of California, or approve their programs:

    ●
    California
    Bureau for Private Postsecondary Education (“BPPE”): Institutions that are licensed by BPPE by means of accreditation,
    like CCMC, are required to notify BPPE of the change within 30 days of the change and demonstrate that the substantive change was
    made in accordance with the institution’s accreditation standards. CCMCC submitted an Application for a Change of Business Organization/Control/Ownership to BPPE on January 16, 2025
which included ACCET’s approval of the change of ownership. By letter dated January 31, 2025, BPPE approved CCMCC to operate under
its new ownership.

    ●
    Accrediting
    Council for Continuing Education and Training (“ACCET”): ACCET accreditation standards require that institutions
    undergoing a change in ownership or control