FTC Drops Case Against GCU

The FTC’s unanimous dismissal of its complaint against Grand Canyon University exposes the spectacular failure of Biden-era regulatory overreach against America’s largest Christian university.

Story Highlights

  • FTC unanimously dismissed all charges against Grand Canyon University after suffering multiple legal defeats
  • Biden administration’s $37.7 million fine was completely rescinded by the Department of Education
  • IRS officially confirmed GCU’s nonprofit status, vindicating the Christian university
  • Case represents clear example of politically motivated “lawfare” against conservative institutions

Biden Administration’s Regulatory Assault Crumbles

The Federal Trade Commission’s complete capitulation in the Grand Canyon University case represents a stunning rebuke of the previous administration’s weaponized bureaucracy. FTC Chairman Andrew N. Ferguson explicitly acknowledged that the case, inherited from Biden’s FTC, had suffered multiple legal setbacks and would waste taxpayer resources. The unanimous dismissal on August 15, 2025, marks the final collapse of what GCU rightfully characterized as coordinated federal harassment targeting the nation’s largest Christian university.

Years of Government Persecution End in Vindication

Grand Canyon University’s six-year battle against federal overreach began when the Department of Education arbitrarily rejected their nonprofit status in 2019, despite meeting all legal requirements. The Biden FTC escalated this persecution in 2023, filing complaints alleging deceptive marketing practices regarding doctoral programs and nonprofit status. However, the Ninth Circuit Court of Appeals ruled in 2024 that the Department of Education acted unlawfully, exposing the entire campaign as legally baseless and politically motivated against this Christian institution. The university faced simultaneous pressure from the FTC, Department of Education, and faced a massive $37.7 million fine that was later completely rescinded. 

Watch: FTC Lawsuit Against Grand Canyon University Dismissed: A Victory for Christian Education

Constitutional Principles Triumph Over Political Persecution

The complete exoneration of Grand Canyon University, Grand Canyon Education, and CEO Brian Mueller validates the importance of fighting back against unconstitutional government harassment. The IRS confirmed GCU’s legitimate 501(c)(3) nonprofit status in March 2025, while the Department of Education withdrew its punitive fine, acknowledging their actions lacked legal foundation. This victory demonstrates that conservative institutions can successfully defend themselves against weaponized federal agencies when they stand firm on constitutional principles.

The case sets a crucial precedent for religious and conservative institutions facing similar government intimidation. GCU’s persistence in challenging federal overreach through proper legal channels resulted in complete vindication, proving that principled resistance to bureaucratic tyranny can succeed. The unanimous nature of the FTC’s dismissal indicates even current commissioners recognized the previous administration’s case was legally indefensible and politically motivated.

Sources:

FTC Lawsuit vs Grand Canyon Dismissed Against All Parties

FTC Dismisses Complaint Against Grand Canyon University

FTC Drops Lawsuit Grand Canyon Education

FTC Drops Lawsuit Over How Grand Canyon University Marketed Its Doctoral Programs

Statement of Chairman Ferguson on Grand Canyon Education Inc