Multnomah & Jessup Contribution Agreement Public

Obtained from the Attorney General of Oregon, the Contribution Agreement now levels the playing field.

Multnomah Family,
 
The “Contribution Agreement” between MU and JU was surrounded by NDAs (non-disclosure agreements).  So, Jessup’s board chair could say, “We have not violated the Agreement . . . but I cannot show it to you.”  We got the document through the Attorney General of Oregon.  The playing field is now even, and everyone can read and decide.
 
One valuable discovery was Article 13.  In the case of a violation, each side could force the other side to mediation through JAMS (Judicial Arbitration and Mediation Services).  They were founded in 1979 using retired judges and experienced attorneys to provide a venue for dispute resolution.   We hope to be a catalyst for those who were part of the JU/MU violations to use Article 13.
 
If you were a part of Jessup-Multnomah during the last 1.5 years, you can be a part of the "Article 13 Mediation Team".  We encourage those who want Jessup to prosper and for justice to be served.  Sign up at the website. 
 
https://www.multnomahlegacyproject.com/mu-ju-timeline
See Oct. 3, 2026 for the Contribution Agreement

Or view the Contribution Agreement PDF here.
 
Look below and on the website for the summary of the Agreement,
 
Grace upon Jessup and Multnomah,
Dr. G
 
= = = = = = =
 
Important Items in the Contribution Agreement
 
MU chose JU because other options fell through at the last second. The Contribution Agreement opens with stating that there would have been a “merger”, but the Department of Education’s guidelines prohibited it in the time frame that was available.
 
JU was willing to give immediate cash support in the fall of 2023 for meeting payrolls. JU also did not require that all staff be fired, but promised that more than half would continue to be employed. They took over after the 2024 spring semester and committed the campus as a branch location of JU. They also committed to a “Teach Out” for all students that promised a Multnomah diploma up through the spring of 2027. They promised that they had the resources and ability to take over Multnomah. These great promises moved Multnomah to give everything to JU in a “Contribution Agreement”.
 
It is pretty clear that JU did not truthfully represent their ability to sustain a branch campus. At the takeover, they were $75 million in debt and did not have the reserve finances necessary. Evidence strongly supports that they did not even have a plan to sustain the Multnomah campus.The only “plan” was to (1) cut the administration and staff by about 40% and (2) Ask the same
failed administration and staff to turn the college around in one year. Administrative plans were created to survive financially, but Jessup rejected them all and nothing was offered in their place. JU quickly used the campus for collateral for $26 million in loans despite having other properties. They sought to have the zoning for the campus changed to allow a more lucrative sale.
 
The “Teach Out” plan for students to graduate from Multnomah was stated, but not fully outlined in the Agreement. This promise was fully stipulated in a supplemental document requiring student support and graduation through the spring of 2027.
 
At the outset of the Contribution Agreement, it states that “hav[ing] all of its students be[ing] offered the opportunity to participate in a teach-out agreement administered by Jessup University on the Jessup University Multnomah campus.” On the second page Jessup sought regulatory approval “to add Multnomah University’s campus as an additional location of Jessup University.” This included that Jessup “has greed to assume substantially all of the liabilities of the Contributor”.
 
Jessup agreed at the Closing to provide a copy of the “Teach-Out Agreement” (Sec. 3.3 a). The Teach-Out Agreement gives the details of services to students (Sec. 9.6).
 
“9.6. Multnomah Students. Students who are matriculated at Multnomah University on the date of this Agreement will continue to pay tuition and fees at Multnomah University levels in effect on the date of this Agreement for a period of two years after the Closing Date. Recipient will honor all existing merit scholarships and need-based grants that have been awarded to students who are matriculated at Multnomah University on the date of this Agreement. As provided in more detail in the Teach-Out Agreement, Recipient will extend to all students who elect to participate in the Jessup University teach-out and whose programs of study, whether undergraduate or graduate, are completed prior to the fall semester of 2024, the option to receive a diploma bearing the name Multnomah University along with the name Jessup University.”
 
The follow-up supplemental Teach-Out Agreement states that the obligation runs until the spring of 2027.
 
The Teach-Out Agreement was signed in February, 2024. It also was a promise to Jessup’s and Multnomah’s regulators. Jessup obtained United States Department of Education (USDOE) approval for the MU campus to be operated as a permanent Jessup educational location. Starting on May 2, 2024, to provide education services in the Covered Multnomah Programs to all Covered Students who, as of April 1, 2024, indicated an intent to accept the teach out option provided herein. Jessup shall, for such students, provide educational services and other services incident thereto, including registrar, student accounts, information technology, academic advising, financial aid counseling, business office and facilities services to Covered Students in a manner consistent with the provision of such services to regular Jessup students (except as described herein, and including for changes as required given differences in the academic calendars of Multnomah and Jessup). Such services shall continue until April 30, 2027, which will be the conclusion of the “Teach-out Period”. (emphasis added) [Sec. 8.a]
 
Other items of interest: The “Multnomah” Name is Jessup’s for ten years (9:5), two board members from Multnomah go to the Jessup board (9:4). They were Joyce Schroeder and Brent Mesquit who are now officers on the board as secretary and treasurer respectively. There was confidentiality about the Agreement (9:3). “Substantial majority” of Multnomah staff was to be kept (9:1), but “each Transferred Employee shall be employed by Recipient on an at-will basis”. [Legally, this means someone can be fired immediately at any time for no stated reason.]

The creators of the document wisely foresaw potential disagreement and outlined a procedure for dealing with violations in Article 13. The scenario involves four weeks of negotiation before mediation with JAMS (Judicial Arbitration and Mediation Service) which has offices inPortland. The Multnomah Family Team will be encouraging those who were “party” to the agreement to use this provision to seek mediation and justice. If mediation fails, Multnomah could file suit along with students and possibily even employees. The Multnomah Family Team does not plan on pursing any legal suit. Since the Agreement included educational regulators, a complain can be filed with them. They include WASC, HECC and USDOE. WASC stands for the Western Association of Schools and Colleges, which is a recognized U.S. regional accrediting agency. The Higher Education Coordinating Commission (HECC) in Oregon is a state regulatory and authorizing agency, not a national U.S. accrediting body. USDOE is the United States Department of Education.
 
MU could seek damages since its reputation as an institution was harmed. Students were promised a Teach Out and it was breached. Students may sue, regulators may take action against Jessup, MU may take action, the Church (with which Jessup is affiliated) may issue some kind formal reprimand.
 
All of this scenario sounds complex. However, justice might be achieved in a simple way.  (1) Mediation is successful. (2) The mediator determines the percent of the campus value that should be returned to Multnomah. (3) The campus is sold and the percent returned to Multnomah. That amount is then used to support Multnomah teaching ministries.

Next
Next

Zoom Prayer and an Update