Universities Confront New Pressures to Settle Financial Aid Suit

Seven elite colleges’ multimillion-dollar settlements in a high-profile case alleging a financial aid price-fixing scheme helps the schools sidestep potentially sizable damages and places more pressure on remaining defendant universities.

Yale, Columbia, Brown, Duke and Emory universities agreed to settle for a combined $104.5 million in a lawsuit against them and a dozen other schools. Colleges that haven’t yet settled could face both public relations risks and substantial damages in a case seeking class certification for thousands of student plaintiffs.

The settlements come two years after students sued alleging the schools violated Section 1 of the Sherman ...