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Antioch University Sues Coalition Partner Over Governance Dispute

OipAntioch University is seeking to block actions by the Coalition for the Common Good that the university says would strip its governing board of authority, take control of its finances, and interfere with its accreditation.

The dispute stems from the unusual structure created when Antioch and Otterbein University launched the Coalition for the Common Good in 2023. The institutions described the arrangement as a new model for sharing resources and expanding pathways to graduate education while maintaining their distinct identities and academic programs.

Under the affiliation agreement, the corporation formerly known as Antioch University became the Coalition for the Common Good, with Antioch continuing as an operating division and accredited university. The Coalition's board serves as the fiduciary board, while an Antioch Board of Governors was given specific responsibilities related to the university's operations. The Coalition says the two are legally the same entity.

Tensions escalated this year after Antioch President Lori Varlotta raised concerns about the Coalition's finances and its progress in attracting additional institutions, according to Antioch's lawsuit. The complaint says Varlotta was asked to discontinue her analysis and that Antioch leaders continued to press the Coalition to address the issues they had identified.

Recently, Coalition executive committee leaders notified Antioch and Otterbein that the Coalition could consider dissolving Antioch's governing board unless the parties reached agreement on organizational recommendations. The parties subsequently entered mediation.

The Coalition did not initially proceed with the proposed dissolution. But on Aug. 28, its board adopted a resolution dissolving Antioch's Board of Governors and returning the authority previously delegated to that body to the Coalition board.

The Coalition says the move was intended to simplify the organization's governance and improve decision-making. It rejects Antioch's characterization of the action as a hostile takeover and says the Coalition has been Antioch's fiduciary governing body since 2023.

Antioch challenged the action in Greene County, Ohio, Common Pleas Court on the same day. The university's complaint alleges that the Coalition violated its own governing documents and lacked authority to dissolve the university's board. Antioch also alleges that Coalition leaders sought to remove Varlotta as president.

The Coalition disputes Antioch's account. In a court filing, it described some of the university's allegations as unverified and inaccurate. In a statement posted after the court ruling, the Coalition said its action was intended to strengthen and streamline governance rather than change Antioch's mission or educational purpose.

A judge issued a temporary restraining order Sept. 1 blocking implementation of the Coalition's resolution while the case proceeds. The order prevents the Coalition from dissolving the Board of Governors and taking the other actions challenged by Antioch. A hearing on whether to issue a preliminary injunction is scheduled for Sept. 14.

The legal dispute follows months of disagreement over the Coalition's structure and direction. Antioch's complaint says the Coalition had not attracted additional institutional members and that Varlotta's financial analysis raised concerns about its long-term viability. Coalition officials have pointed to investments and other benefits from the partnership, including new degree programs, operational savings, and additional tuition revenue.

For now, the court's order preserves the existing governance arrangement while the parties litigate their competing interpretations of the affiliation agreement and the Coalition's authority over Antioch.

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