Tarrant County College trustees approved $3.8 million to negotiate a settlement agreement over an ongoing breach of contract lawsuit.
Blackboard T&L LLC, formerly known as Anthology Inc., sued the college in 2024 for more than $23 million because it said TCC did not meet contractual expectations to terminate their 10-year contract early.
“The proposed settlement agreement is intended to bring finality to the dispute while allowing the college district to continue focusing its resources on serving students, faculty, staff and the community,” TCC general counsel Antonio Allen said.
A Blackboard spokesperson did not respond to a request for comment.
Signed in June 2022, the agreement was to provide the college with a planning project for an enterprise resource planning software and services. While it permitted TCC to terminate early without a cause, the contract stated the college had to provide Anthology with a 60-days written notice and pay a termination fee.
In October 2023, TCC wrote Anthology stating “this notice is being given pursuant to the ‘termination without cause’ clause,” but it refused to pay the fee, according to the 2024 lawsuit. The college also demanded Anthology refund the $1.7 million it already paid under the contract.
Anthology sued TCC in the U.S. District Court for the Northern District of Texas, stating the college owed the termination fee and sought damages. The fee was the remaining contractual amount of $23 million.
TCC’s move to dismiss the lawsuit was granted in June 2024 based on the argument that the college district is a “unit of state government,” making it “entitled to immunity from the suit under Texas law,” according to court documents.
Anthology appealed the dismissal. In May 2025, the U.S. District Court of Appeals for the 5th District stated the lower court’s ruling was incorrect.
“A state-law immunity cannot limit the jurisdiction of federal courts,” the appeal said. “So the district court should not have considered that issue first. Accordingly, we vacate the district court’s judgement and remand for further proceedings.”
While the college’s original appeal argued it had legal immunity, Allen said TCC communicated issues it had with Anthology’s ability to meet the district’s standards and expectations.
“The college district identified significant concerns regarding Anthology’s performance,” Allen said. “After extensive efforts to address those concerns, the college district terminated the contract.”
Trustee Veronica Law asked Allen if he could be more transparent with the public on how the counsel reached the settlement amount and the model for financial liabilities involved, but he denied.
“That would be something we would discuss in closed session, but would not be discussed in public,” Allen said.
Reginald Gates, vice chancellor for communications and external affairs, said the trustees’ decision shouldn’t affect planning for the 2026-27 academic year budget, but he didn’t immediately respond to clarify his statement.
TCC’s 2024-25 annual comprehensive financial report said the district believed the lawsuit claims were without merit. So, any adjustments that could have resulted from the lawsuit weren’t reflected in the financial statements.
For its 2025-26 operating budget, the college allocated $450,000 for external legal fees.
Chief Financial Officer Pamela Anglin said legislative and local property tax exemptions have significantly decreased TCC’s revenue.
“The amount of exemptions has grown and will continue to grow,” Anglin said at an April 25 special meeting.
Ash Petrie is a reporting fellow for the Fort Worth Report. Contact her at ash@fortworthreport.org.
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