SC new ruling on college fees: Private engineering and medical colleges can't
Benchmarks Nifty23,146.15148.81FEATURED FUNDS★★★★★UTI Aggressive Hybrid Fund Regular Plan-Growth5Y Return8.69 % Invest NowFEATURED FUNDS★★★★★Motilal Oswal Midcap Fund Direct-Growth5Y Return18.78 % Invest NowEnter search…
The Supreme Court has ruled that private professional colleges can increase fees after admission only in exceptional circumstances, such as an unforeseen rise in expenditure. The court struck down a 37% fee hike and an additional development fee imposed on BTech students at Dr BC Roy Engineering College in West Bengal.
The Supreme Court has ruled that private professional colleges can't increase fees midway through a course except in exceptional circumstances, offering relief to students and families struggling to plan for the rising cost of higher education. The court said colleges must provide clarity on the fees students will have to pay for the entire duration of a course before they take admission. Any increase after admission should be permitted only in exceptional situations, such as an unforeseen rise in expenditure, a TOI report state.The ruling came while the court struck down a 37 percent fee hike imposed on BTech students enrolled in the 2023-27 batch at Dr BC Roy Engineering College in West Bengal. The institution had also introduced a new development fee. A bench comprising Justices PS Narasimha and Alok Aradhe said uncertainty over fees could place a significant financial burden on students and their families. It stressed that the authorities responsible for regulating professional education must establish a system that ensures students know their financial commitments before joining a college.
Why the Supreme Court wants certainty over college fees
The court observed that professional education requires a substantial financial commitment from most Indian families. Parents often set aside years of savings to fund their children's education, hoping it will help them secure better jobs and build a more secure future. Many families also depend on education loans to pay for engineering, medical and other professional courses. An unexpected fee increase can disrupt their financial planning and leave them struggling to meet additional expenses.The bench noted that the cost of professional education is significantly higher than that of general courses. It referred to reports indicating that fees for professional courses are 711% higher than those for general courses. Against this backdrop, the court said students and their families should not face unexpected changes in the amount they are required to pay after admission.
It also warned that financial uncertainty could affect students' education and, in the long run, have consequences for the quality and character of future professionals.
Live Events
What the Supreme Court said about fee hikes
The bench acknowledged the contribution of self-financing institutions to the education sector. However, it made clear that colleges must follow a predictable fee structure.The court said the existing regulatory framework, including the principles laid down in earlier Supreme Court judgments, AICTE regulations and the National Education Policy 2020, requires the relevant authorities to notify fees for the entire course before admission.Fee revisions cannot be introduced arbitrarily after students have enrolled. The court said changes could be allowed in exceptional cases, including an unforeseen increase in expenditure. It also observed that state governments and regulatory bodies should create a system that protects students from uncertainty over their financial obligations.
Why the court struck down the 37% BTech fee hike
The case concerned students enrolled in the 2023-27 BTech batch at Dr BC Roy Engineering College in West Bengal. They challenged the college's decision to raise fees by 37% and introduce an additional development fee after their admission. The Supreme Court ruled in favour of the students and quashed the fee hike.The decision reinforces the principle that students should be able to assess the financial cost of completing a professional degree before committing to a college. A fee structure announced at the time of admission should ordinarily remain applicable throughout the course. For students considering engineering, medicine or other professional programmes, the ruling underlines the importance of regulatory oversight and transparency in college fee decisions.
The judgment does not rule out every possible fee revision. Instead, it establishes that an increase after admission must be justified by exceptional circumstances rather than imposed as a routine decision.
Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onSupreme Court college fee hikeprivate college feesSupreme Court fee rulingBTech fee hikeDr BC Roy Engineering Collegeengineering college feesmedical college feesAICTE regulationsNational Education Policy 2020
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
...moreless(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onSupreme Court college fee hikeprivate college feesSupreme Court fee rulingBTech fee hikeDr BC Roy Engineering Collegeengineering college feesmedical college feesAICTE regulationsNational Education Policy 2020
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
...morelessContinue reading with one of these options:Limited AccessFreeLogin to get access to some exclusive stories& personalised newslettersLogin NowUnlimited AccessStarting @ Rs120/monthGet access to exclusive stories, expert opinions &
in-depth stock reportsSubscribe NowET
Unlock Access to All Exclusives with ETPrime FREE TRIAL
15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers
Trial offer expiring in00 : 05 : 00
I'd rather pay ₹2599 nowUh-oh! This is an exclusive story available for selected readers only.
Worry not. You’re just a step away.
Prime Account Detected!
It seems like you're already an ETPrime member with
Login using your ET Prime credentials to enjoy all member benefits
Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.
Unlock ETPrime's Exclusive Stories Today!
Big Price Drop! Flat 40% Off
Student Only OfferAlready a Member? Sign In nowAlready a Member? Sign In nowAlready a Member? Sign In nowOffer Exclusively For You
Save up to Rs. 700/-
ON ET PRIME MEMBERSHIP
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get Flat 40% Off
Then ₹ 1749 for 1 year
Avail OfferOffer Exclusively For You
ET Prime at ₹ 49 for 1 month
Then ₹ 1749 for 1 year
Avail OfferSpecial Offer
Get flat 40% off on ETPrime
Avail OfferAvail OfferClaim NowAlready a Member? Sign In nowNeed Assistance?
Connect with an ETPrime expert for personalized support and guidance
+91 9484700004'; }); } if(listing) { var h3 = "You tried reading " + listArr.length + " locked stories in the past " + threshold + " days.", h4 = "Become an ET Prime member and don't miss out on these exclusive stories."; var html = '' + h3 + '
' + h4 + '
- ' + listing + '
What’s Included with
ETPrime Membership
1Exclusive Insights That Matter
Uncover the truth with our investigative stories
Make strategic moves using the real-world case studies
Read industry-specific stories to identify emerging trends
Spot opportunities with in-depth insights that matter
Trump temper on H-1B visas is forcing Indians to do these things to stay put in US
What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.
Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?
The problem with lab grown diamonds
Why a falling rupee is a better option for the economy
A list of top 20 momentum stocks that have delivered massive returns in one year
2Invest Wisely With Smart Market Tools & Investment Ideas
Alpha Trade
Get daily trade ideas from SEBI-registered research analysts.
Investment Ideas
Grow your wealth with stock ideas & sectoral trends.
Stock Reports Plus
All-in-one stock research with Stock Score, peer comparison & key signals.
BigBull Portfolio
Get to know where the market bulls are investing to identify the right stocks.
Stock Analyzer
Check the score based on the company's fundamentals, solvency, growth, risk & ownership to decide the right stocks.
Market Mood
Analyze the market sentiments & identify the trend reversal for strategic decisions.
Stock Talk Live at 9 AM Daily
Ask your stock queries & get assured replies by ET appointed, SEBI registered experts.
3Stay informed anytime, anywhere with ET ePaper
ePaper - Print View
Read the PDF version of ET newspaper. Download & access it offline anytime.
ePaper - Digital View
Read your daily newspaper in Digital View & get it delivered to your inbox everyday.
Wealth Edition
Manage your money efficiently with this weekly money management guide.
TOI ePaper
Read the PDF version of TOI newspaper. Download & access it offline anytime.
Deep Explainers
Explore the In-depth explanation of complex topics for everyday life decisions.
Health+ Stories
Get fitter with daily health insights committed to your well-being.
Personal Finance+ Stories
Manage your wealth better with in-depth insights & updates on finance.
5Enjoy Complimentary Subscriptions From Top Brands
Stream new documentaries from all across the world every day.
Stories you might be interested in
Figures reflect the source report and its stated period. This article is for information and is not investment advice.
