Decision could have major implications for student services, more litigation expected
A King’s Bench judge has ruled against the University of Regina Students’ Union (URSU) in one of its legal actions against the university – a move that could have major repercussions for groups on campus.
URSU had sought an injunction after the university terminated a student fee collection agreement and withheld hundreds of thousands of dollars that the students’ union said it was entitled to.
In a written decision issued July 30, Justice Peter Bergbusch ruled in the U of R’s favour and dismissed URSU’s application – at times using some blunt language.
“URSU is in dire financial straits and is not forthcoming about the measures it has taken to date or its plans to achieve financial viability,” Bergbusch said in the 41-page decision.
“Compelling the University to collect fees from students on URSU’s behalf in the present circumstances would be unfair to students and irresponsible.”
The court fight has been closely watched by the campus community. URSU is responsible for funding many services and organizations, including the universal bus pass (U-Pass), the UR Health and Dental Plan, the Lazy Owl, the Carillon, and clubs and organizations.
Many of these services are now in limbo. Questions have been asked about whether the university will fulfill promises it had made to fund “core services” and the student clubs, societies and other organizations. The past few months were filled with discussions on how that might happen. Meanwhile, the future of URSU itself remains uncertain.
Hundreds of thousands in fees collected every semester
Student fees at the university are $44.06 a semester plus $5.70 per credit hour.
The university had been withholding the fees for several terms, a move URSU said in a press release was not “in good faith.”
URSU filed its court injunction against the university in the spring in an attempt to get them to release fee money from the Winter 2025 and the Spring/Summer 2025 terms.
During oral arguments, URSU told the court it would argue at a later hearing for the U of R to be ordered to continue collecting and transferring fees to URSU.
University president responds
On Aug. 1, university president Jeff Keshen emailed a statement to students on the court’s July 30 decision, informing them the injunction application had been dismissed.
“The University has raised concerns regarding URSU’s unsustainable financial position and has tried to engage constructively with URSU leadership, offering financial and governance assistance. Unfortunately, URSU did not take the steps recommended by the University to improve and address these matters,” said Keshen
Keshen said that URSU also seemed unwilling to cooperate with the “payment protocol” the university put in place that would allow groups to send their bills directly to the U of R.
Keshen also told students that he aims to work in cooperation with students to form a new student organization.
“We encourage University of Regina students to get involved to make the changes necessary to result in an effective and accountable student representative organization, ” said Keshen.
The court’s decision
Keshen wrote in the email to students saying that “the Court determined that the University established a real risk that URSU would not properly allocate student funds if the University were ordered to transfer the withheld student fees to URSU as a lump sum payment.”
The decision also said the payment protocol was “a measured and practical method to ensure that URSU applies fees collected from students to legitimate expenses.”
The court’s decision stated that another thing in the U of R’s favour was that “URSU has not demonstrated a meaningful risk of irreparable harm.”
URSU said not getting the money would put it out of business.
“URSU is in dire financial straits and is not forthcoming about the measures it has taken to date or its plans to achieve financial viability. Compelling the University to collect fees from students on URSU’s behalf in the present circumstances would be unfair to students and irresponsible.” – Justice Peter Bergbusch
The judge didn’t agree with that but did say URSU needs money. If anything, URSU seemed to downplay just how urgently they needed the funds, he said.
“The evidence is clear that student fees are URSU’s primary funding source,” said Bergbusch.
“Faced with a deteriorating financial condition. URSU’s failure to engage meaningfully with the University is puzzling,” the judge added.
The judge recognized the University had some issues, too. Bergbusch stated that “perhaps URSU’s current financial predicament could have been avoided with timely, decisive action. Regardless, the University’s decision to withhold student fees beginning on January 1, 2025, has precipitated the crisis.”
URSU’s response to the court decision
In an email to the Carillon, URSU president Hamza Rehan said the students’ union respects the judge’s decision and is not currently considering appealing it.
He also noted that this was just an intermediate decision and the main court fight between URSU and the U of R is still on the horizon.
“While the judgment did not grant the immediate relief we sought, it did affirm that there remains a serious question to be tried regarding the underlying dispute,” he said.
Rehan said that URSU will shift its focus toward working collaboratively with the U of R “to restore confidence, improve transparency, and ensure that student services continue uninterrupted.”
He also said URSU recognizes the valid concerns raised by the university and is committed to addressing them “through governance reform and financial accountability.”
He said this situation has served as a point of clarity for URSU. He said the situation has highlighted the need for student leadership and the university to work together for a trustworthy and mutually beneficial relationship.
“We look forward to continued discussions with the University as we work toward a sustainable and respectful solution that benefits all members of the campus community,” said Rehan
Judge’s closing statements
Bergbusch also commented on how services such as the bus pass, health and dental and other student organizations could continue this fall: This could entail the U of R by-passing the students’ union entirely and distributing the services directly.
“What this will look like is unknown,” Bergbusch said.
