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Touro Law Review

Touro Law Review

Abstract

Higher education institutions (IHEs) operate in an increasingly complex legal and regulatory environment that has transformed institutional governance, administration, and leadership. Since the enactment of the Higher Education Act of 1965, colleges and universities have experienced growing federal, state, and quasi-regulatory oversight, a phenomenon commonly described as the “lawyerization” of higher education. This process has resulted in expanded compliance obligations, increased litigation risks, and greater reliance on legal expertise within institutional operations. Recent federal actions following the inauguration of President Donald Trump in January 2025— including executive orders, agency guidance, policy memoranda, and related litigation—have intensified regulatory uncertainty and further complicated the higher education landscape. These developments arrive at a time when many IHEs are already confronting significant financial pressures, demographic challenges, and concerns about institutional sustainability. This Article examines the intersection of legal regulation, financial aid policy, and institutional leadership through a case study of the federal Pell Grant program. It demonstrates that even a single financial aid program imposes substantial compliance and administrative burdens on institutions and argues that the extensive higher education provisions contained in the “One Big Beautiful Bill” (OBBB) significantly expand these obligations. The Article contends that the absence of clear implementation guidance and the uncertainty surrounding many of the legislation’s requirements heighten institutional risk and increase the need for sophisticated legal analysis and strategic decision-making. Finally, the Article explores the growing trend of lawyers serving in senior leadership positions, including college and university presidencies, and argues that the continuing expansion of federal regulation makes legal training an increasingly valuable attribute for higher education leaders. In an era of heightened regulatory complexity and financial vulnerability, lawyer-leaders may be uniquely positioned to guide institutions through legal change, promote compliance, and enhance institutional resilience and survival.

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