Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 15

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 1
Chunk 15
---
 including, for example, laws related to marketing,
advertising and recruiting practices and the financing of education at for-profit educational institutions. Further, some state attorneys
general have partnered with federal and state agencies to review industry practices and collaborate on enforcement actions against educational
institutions. These actions increase the likelihood of scrutiny of marketing, advertising, recruiting, financing, and other practices
of educational institutions and may result in unforeseen consequences, increasing risk and making our operating environment more challenging.

Adverse
media coverage regarding the allegations of state consumer protection law violations by us or other for-profit education companies could
damage our reputation, result in decreased enrollments, revenues and profitability and have a negative impact on our stock price. Such
coverage could also result in continued scrutiny and regulation by ED, Congress, accreditors, state legislatures, state attorneys general
or other governmental authorities of us and other for-profit educational institutions.

State
education laws and regulations may limit our campuses’ ability to operate or to award degrees, diplomas, or certificates or offer
new programs. Moreover, under the HEA, authorization by state education agencies is necessary to maintain eligibility to participate
in the Title IV Programs. ED regulations also require institutions offering postsecondary education through distance education to students
located in a state in which the institution is not physically located (as determined by the institution at the time of a student’s
initial enrollment and, if applicable, upon formal receipt of information from the student that their location has changed to another
state) to meet state educational requirements in that state or participate in a state authorization reciprocity agreement in order to
disburse Title IV funds to such students. We have obtained approval to offer portions of our programs via distance education from ACCET
for CCC, CCMCC and HDMC, ABHES for Integrity, and from BPPE for HDMC, CCC, CCMCC and Integrity. The State of California does not,
however, presently participate in any state authorization reciprocity agreement whereby our institutions may offer programs via distance
education to students located in other states without our applicable state authorizations from those other states. Our institutions presently
do not have any state postsecondary authorizations outside of California. In addition, an institution must make disclosures readily available
to enrolled and prospective students regarding whether programs leading to professional licensure or certification meet state educational
requirements, and provide a direct disclosure to students in writing if the program leading to professional licensure or certification
does not meet state educational requirements in the state in which