April 23, 1999

Beauty Schools Lose Challenge to U.S. Rules on Loan Defaults

By STEPHEN BURD

A federal appeals court last month rejected a request by a group representing beauty schools to overturn U.S. Education Department rules that forced some of the institutions out of the federal student-aid programs because of excessive default rates.

But the court reaffirmed the right of institutions to seek judicial review if they believe that the department wrongfully terminated them from the aid

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