CSOL students, faculty, and alumni have had many questions go unanswered since the news of Infilaw’s involvement at the law school became public. And, as we learned yesterday, many of our questions are shared by the public’s elected representatives.
In the course of our research, the Alumni Board learned that Infilaw and its schools are entities organized under the corporate laws of Delaware. So we went looking to see if there were any recently created Delaware entities related to the Charleston School of Law. We discovered CSOL Acquisition, LLC, was created in Delaware on June 26, 2013—roughly a month before the Infilaw deal was leaked to the media. And, while Delaware allows corporations to be very secretive about their members, it bears noting that the registered agent for service of process for this new entity is the same as that for nearly all of the other Infilaw entities created at other times, including the entity for the newly formed Infilaw Management Services subsidiary.
Perhaps there is some other explanation than the one that jumps obviously to mind. But the Alumni Board believes that the CHE should and will ask the question, and that, by law, the controlling directors of the law school must answer it. Indeed, we proposed numerous questions yesterday before the Legislative delegation: What, relationships or agreements, if any, exist between the law school and this Delaware corporation? To what degree, if any, did Infilaw participate in the redemption of interests by the two original directors who recently departed from CSOL’s board? When did the controlling directors make their agreements with Infilaw? We believe the answers to each of these questions involve jurisdictional issues for CHE oversight which can and should be addressed immediately.
As we have always acknowledged, this level of transparency is not required of ordinary, privately-held businesses. But the Charleston School of Law is not an ordinary business. It is a law school organized under the laws of the State of South Carolina, which provides for clear mechanisms for oversight; as such, it is held to a higher standard of openness and, we hope, commitment to the community that has supported it over the last decade than an ordinary business.