| (a) If an institution erroneously classifies a person
as a resident, the institution shall charge nonresident tuition to
the person beginning with the semester following the date that the
institution discovers the error.
(1) Not earlier than the first day of the following
semester, the institution may notify the person that he or she must
pay the difference between resident and nonresident tuition for each
previous semester in which the student should not have paid resident
tuition, if:
(A) the person failed to provide to the institution,
in a timely manner after the information becomes available or on request
by the institution, any information that the person reasonably should
know would be relevant to an accurate classification by the institution
under this subchapter information; or
(B) the person provided false information to the institution
that the person reasonably should know could lead to an erroneous
classification by the institution under this subchapter.
(2) If the institution provides notice under paragraph
(1) of this subsection, the person shall pay the applicable amount
to the institution not later than the 30th day after the date the
person is notified of the person's liability for the amount owed.
After receiving the notice and until the amount is paid in full, the
person is not entitled to receive from the institution a certificate
or diploma, if not yet awarded on the date of the notice, or official
transcript that is based at least partially on or includes credit
for courses taken while the person was erroneously classified as a
resident of this state.
(b) If an institution erroneously classified a person
as a nonresident of this state under this subchapter and the person
is entitled or permitted to pay resident tuition, the institution
shall charge resident tuition to the person beginning with the semester
in which the institution discovered the error. Regardless of the reason
for the error, the institution shall immediately refund to the person
the amount of tuition the person paid in excess of resident tuition.
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