Company: LGCY
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010844
Chunk: 172

Company: Legacy Education Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 172
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March 2025, the President issued an Executive Order calling for all necessary steps to close ED although the executive order did not
indicate the process or timing for accomplishing this task nor identify where some of the functions of ED might be transferred. We continue
to monitor developments in this area, but cannot yet predict whether the administration or Congress will be successful in closing or
further reducing ED and/or transferring some or all of its functions to one or more agencies, or whether such a proposal would disrupt
or change the availability of Title IV funds to us and our students or change the rules applicable to us and our schools to continue
receiving Title IV funds. We also cannot predict the success of any litigation challenging any efforts to close or restructure ED. Any
executive or legislative action impacting ED, the availability of Title IV funds, or the rules applicable to us could have a material
adverse effect on us and our institutions.

As
previously reported, we cannot predict with any certainty the extent to which Congress could adopt legislation at any time that amends
the Higher Education Act of 1965 (“HEA”), annual appropriations, or other changes to laws that could materially affect our
business, financial condition, and results of operations. See Annual Report at Form 10-K at “Education Regulations – Congressional
Action.” Congressional committees and members actively continue to propose and consider legislation on a wide range of topics related
to the Title IV programs that could impact the amount of Title IV funding available to schools and students and impose additional accountability
requirements on institutions and also that could eliminate or modify certain rules that are less favorable to schools like ours. However,
the process of Congressional passage of new legislation is in its early stages, is subject to further negotiation and amendment, and
is further subject to Congressional approval. Therefore, the timing and outcome of this process and the scope of any legislation that
might be enacted cannot be predicted with any certainty at this time. We are continuing to monitor the process.

We
cannot predict with certainty the ultimate combined impact of the regulatory changes which have occurred in recent years, nor can we
predict the effect of future legislative or regulatory action by federal, state or other agencies regulating our education programs or
other aspects of our operations, how any resulting regulations will be interpreted or whether we and our institutions will be able to
comply with these requirements in the future. Any such actions by legislative or regulatory bodies that affect our programs and operations
could have a material adverse effect on us and our student