 Although the college continued to deny any misrepresentation, Oxford University threatened Warnborough College with a lawsuit over these alleged misrepresentations and the Washington State Higher Education Coordinating Board sued Warnborough.The lawsuit resulted in a judgement against Warnborough College by the Superior Court of King County, Washington of nearly $300,000.On 4 October 1995 the United States Department of Education took emergency action against and then, in 1996, terminated the eligibility of Warnborough College to participate in the federal student financial assistance programmes under Title IV of the Higher Education Act of 1965 on the basis that it was not a degree-granting foreign institution; its credits were not freely transferable to eligible US universities; and it had no eligible one-year vocational programmes.