The DOJ Just Sued Maryland Over In-State Tuition for Undocumented Students: What Families Need to Know

On July 16, 2026, the U.S. Department of Justice filed a lawsuit against Maryland, asking a federal court to strike down the state laws that let certain undocumented students pay in-state tuition at public colleges. It is the 13th lawsuit of its kind, part of a legal campaign that has already ended similar policies in Texas and Kentucky.

If your family includes an undocumented student, or you know one, this news is stressful. The gap between in-state and out-of-state tuition can be $15,000 to $25,000 a year at a flagship university, so the outcome of these cases has real money on the line. This article explains what the lawsuit actually says, what has happened in other states, and the practical steps affected families can take right now.

What the Maryland Lawsuit Says

The Justice Department filed its complaint in the U.S. District Court for the District of Maryland. It names the State of Maryland, the Maryland Higher Education Commission, and the University System of Maryland Board of Regents as defendants.

The core argument is the same one the DOJ has used in every one of these cases. A federal law passed in 1996 says states cannot give undocumented immigrants a postsecondary benefit based on residency unless every U.S. citizen is eligible for the same benefit, no matter what state they live in. Because a U.S. citizen from Pennsylvania pays out-of-state rates at the University of Maryland while a qualifying undocumented Maryland resident pays in-state rates, the DOJ argues the state law conflicts with federal law and must fall.

Maryland's policy, often called the Maryland Dream Act, was approved directly by Maryland voters in a 2012 ballot referendum. To qualify, students generally must have attended a Maryland high school, and they or their parents must have filed state tax returns. According to the DOJ's own filing, the policy saves eligible students roughly $9 million a year in tuition costs statewide.

To be clear about what supporters say: Maryland officials and immigrant advocacy groups argue the policy is legal because it is based on high school attendance and tax filing, not residency alone, and that educating these students benefits the state's economy. The courts will sort out who is right.

The Scoreboard So Far: How Other States Have Fared

Maryland is not an isolated case. Here is where the broader legal campaign stands, based on reporting from Inside Higher Ed and the Presidents' Alliance litigation tracker:

• Texas: The DOJ sued in June 2025. State officials agreed with the federal government within hours, and a judge ended the policy the same week. The Texas Dream Act had been on the books since 2001, the first law of its kind in the country.
• Kentucky: A federal judge signed a consent decree in March 2026 rescinding the state's in-state tuition regulation. Civil rights group MALDEF has appealed.
• Minnesota: A rare win for a state. A federal judge dismissed the DOJ's lawsuit in March 2026, ruling that Minnesota's laws offer the same benefits to citizens and undocumented residents alike.
• Still in progress: Lawsuits against Oklahoma, Illinois, California, Virginia, and several other states are pending. In Kansas, state officials joined the DOJ's side rather than defending their own policy.

The pattern matters. In states where officials chose not to defend the policy, it ended fast. In states that fought back, the outcome has been mixed. Maryland's attorney general has signaled the state will defend its law, which means this case could take months or longer to resolve.

What Has Not Changed (Yet)

A lawsuit is not a ruling. As of today, Maryland's in-state tuition policy is still in effect, and students who qualify are still being charged in-state rates for the fall 2026 semester. Nothing about this filing changes your student's tuition bill this month.

A few other things stay the same no matter how the case ends:

• Federal aid rules are unchanged. Undocumented students, including DACA recipients, have never been eligible for federal grants or loans. These lawsuits do not take away anything federal, because there was nothing federal to take away.
• U.S. citizen students in mixed-status families are unaffected. If your student is a citizen but a parent is undocumented, the student remains fully eligible for federal aid. File the FAFSA as usual. Our guide to completing the FAFSA when a parent is undocumented walks through exactly how it works.
• Private colleges set their own prices. These cases are about public university tuition tiers. Private colleges charge everyone the same sticker price and can offer institutional aid to anyone they choose.
• Private scholarships are untouched. Awards from foundations and nonprofits set their own eligibility rules.

What Affected Families Can Do Right Now

Uncertainty is the hardest part of a moment like this. You cannot control a court docket, but you can control your preparation. Here are five concrete steps.

1. Confirm your state's current status

Do not rely on year-old information or social media posts. The Presidents' Alliance on Higher Education and Immigration maintains an updated litigation tracker showing where every case stands. Then call or email the registrar or financial aid office at your student's college and ask two direct questions: what tuition rate applies this year, and what would happen to that rate if the state's policy is struck down mid-year.

2. Get everything in writing

If your student currently qualifies for in-state rates, keep copies of the documents that established eligibility: high school transcripts, tax filings, the affidavit your student signed, and any tuition classification letters from the college. If rules change, students with organized records are in the best position to appeal or requalify under whatever standard comes next.

3. Build a scholarship pipeline that does not depend on status

Some of the largest scholarship programs in the country were built specifically for undocumented students. TheDream.US, the biggest of them, has funded more than 11,000 students and partners with colleges in more than 20 states. The Golden Door Scholars program funds high-achieving undocumented students at partner schools. Many local and regional awards never ask about citizenship at all. Our guide to scholarships for undocumented and DACA students lists options and deadlines.

4. Price out a backup path

If out-of-state rates would make your current school unaffordable, run the numbers on alternatives before you are forced to. Community colleges charge far less per credit, and some keep lower rates for local high school graduates regardless of status. Private colleges with strong institutional aid can sometimes beat a public university's out-of-state price. Our overview of financial aid options for DACA and undocumented students covers the funding sources that remain open, and state aid programs in some states still stand apart from the tuition question.

5. Watch out for scams

Whenever a policy change makes headlines, scammers follow. No legitimate organization will charge your family a fee to "protect" a tuition rate, "register" your student's status, or guarantee a scholarship. Advice about immigration status itself should come from an accredited immigration attorney or a nonprofit legal aid organization, not a consultant who found you online.

Planning Amid Uncertainty

Families in the affected states are being asked to plan for two very different price tags at once, and that is exhausting. The most useful thing you can do is build a plan that works under either outcome: know your true cost at the current rate, know it at the out-of-state rate, and know which schools and scholarships close the gap in the worse case.

That is exactly the kind of side-by-side math CollegeLens was built for. Create your free CollegeLens plan to compare your real out-of-pocket cost at multiple schools and see your funding options in one place. If tuition classification is the swing factor for your family, model both scenarios so a court ruling never catches you without a next step.

The Bottom Line

The DOJ's lawsuit against Maryland is the 13th in a coordinated effort to end in-state tuition for undocumented students, and the track record so far means families should take it seriously. Nothing changes today: the policy remains in effect while the case proceeds, federal aid rules are untouched, and citizen students in mixed-status families keep full eligibility. But the smart move is to prepare now. Confirm your state's status, document your eligibility, line up status-blind scholarships, and price a backup path. Whatever the courts decide, your family will have options ready.

-- Sravani at CollegeLens