Section 49-7-2011 - Complaints against institution or agent(a)(1) A person claiming damage or loss as a result of an act or practice of an authorized postsecondary educational institution or its agent, or both, that is a violation of this part or of the rules promulgated pursuant to this part, may file with the commission a verified complaint against the institution or against its agent, or both. A student who files a complaint pursuant to this subsection (a) must first exhaust the grievance process at the institution.(2) The complaint must set forth the alleged violation and must contain any other information required by the commission.(3) The commission may open a complaint at its discretion or upon a request from the attorney general and reporter whenever it appears to the commission that a person, agent, group, or entity is, is about to, or has been violating this part or any of the rules promulgated pursuant to this part.(b)(1) Commission staff shall investigate all complaints filed or opened pursuant to subsection (a) and shall attempt to effectuate resolution of the complaint by persuasion and conciliation.(2) When resolution is not reached and if, based on all of the evidence obtained through the investigation, commission staff finds that a person, agent, group, or entity is, is about to, or has been violating this part or any of the rules promulgated pursuant to this part, commission staff may recommend that the executive director take action as provided for in §§ 49-7-2010 and 49-7-2017. A party to the complaint must be provided an opportunity to show cause why the recommendations, if any, should not be forwarded to the executive director. The opportunity to show cause must detail the basis for the findings and provide a party with no fewer than ten (10) days to respond.(3) The executive director shall act on the recommendation after the time for response in subdivision (b)(2) has expired by providing written notice of the decision to all parties to the complaint. The notice must explain the right to a hearing and review of the decision by the commission as provided in § 49-7-2012(a).(c) This section shall not be construed to prohibit the use of nonbinding mediation to settle disputes arising between a postsecondary educational institution and its enrollees, nor the inclusion of a nonbinding mediation clause in enrollment contracts or agreements.Amended by 2022 Tenn. Acts, ch. 1044, s 19, eff. 7/1/2022.Acts 1961, ch. 112, § 14; 1974, ch. 781, § 14; T.C.A., § 49-3914; Acts 1992, ch. 1026, § 5.