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Hi there. It's not criminal blackmail, but you may have a case for criminal fraud if you can prove intent was there to defraud. Also, it is clearly a breach of contract
for which you have civil recourse. You had a signed contract with the school and they breached the terms of it. Thus, you are entitled to a refund of all money and any damages you suffered due to their breach. In addition, because they were so brazen in their breach, you would be able to ask the court not only for your actual damages, but punitive damages
as well because their actions indicate bad faith and fraud. Once the suit is filed and a judgment awarded, you become a judgment creditor
, and if the losing party doesn’t then pay the judgment, you can have the sheriff serve a summons on the losing party for a debtor examination. That forces the losing party to meet the judgment creditor in court and answer questions under oath about the losing party's assets. After that information is obtained, the judgment creditor has the power to attach bank accounts, have the sheriff seize other personal property, and/or place liens on any non-homestead property to satisfy the judgment.
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