Future of School vs Stride, Inc. Case to Be Heard by the Supreme Court of Virginia
Nonprofit organization seeks justice after Stride, Inc. reneges on $3.5 million funding commitment
RICHMOND, VA. (November 13, 2025) – The Supreme Court of Virginia has agreed to hear argument on a petition for appeal in Future of School, Inc. v. Stride, Inc., a case that will address important questions about the enforceability of promises and contractual provisions that govern how parties conduct business across state lines. The case, in which Future of School’s petition for appeal will be heard on December 2, 2025, centers on Stride, Inc.’s refusal to honor a $3.5 million funding commitment they made in 2021 to Future of School, a national nonprofit organization working to transform K–12 education into a flexible, student-centered system that ensures all learners can reach their full potential. Future of School awards scholarships to students who struggle in school, grants to teachers seeking to transform their classrooms, and publishes research related to innovative ways of teaching.
A national public charity, Future of School was originally founded with the support of Stride, Inc. (formerly K12 Inc.), a for-profit education company. Under a 2021 letter of intent, Stride pledged $3.5 million in donations to be paid over five years. After an initial $1.2 million contribution, Stride withheld the remaining $2.3 million and filed a lawsuit against Future of School in Virginia for declaratory judgment, saying that it was not required to pay the $2.3 million pledged – prompting Future of School to file a countersuit.
At the center of the case is a legal issue with far-reaching implications: whether Virginia courts must enforce a contractual choice-of-law provision that specifies which state’s laws govern an agreement. The letter of intent signed by both parties clearly stated that Delaware law would apply. Delaware law recognizes promissory estoppel (the principle that a promise can be legally enforceable when a party relies on it to their detriment) while Virginia law does not.
Both the Circuit Court and the Court of Appeals dismissed Future of School’s claims, declining to apply Delaware law despite the explicit choice-of-law provision. Future of School has now petitioned the Supreme Court of Virginia to review these rulings, arguing that they contradict longstanding Virginia precedent that supports the enforcement of such provisions.
According to Future of School court filings, the decision to ignore the agreed-upon Delaware law undermines not only the organization but also the principle that contracts and commitments matter. Stride’s decision to withdraw promised funding has had a direct and damaging impact on Future of School’s mission to ensure equitable, personalized learning opportunities for students nationwide.
Future of School argues that Stride’s withdrawal has forced the nonprofit to curtail programs and initiatives that serve educators and students across the country. The organization expanded its operations based on Stride’s commitment, relying in good faith on the pledged support to continue its work in bridging traditional and digital education. Because of Stride’s lawsuit and wrongful withholding of funding, since 2023, Future of School has been forced into limited operations. It instead put the majority of its efforts into defending the lawsuit and pursuing the promised funding from Stride.
By accepting the case, the Supreme Court of Virginia would have an opportunity to clarify the law governing agreements between Virginia-based entities and out-of-state partners, particularly in cases involving charitable commitments and reliance on promised support. The outcome could have broad implications for nonprofits, corporations, and other organizations that rely on good-faith promises governed by multi-jurisdictional agreements. And it would allow Future of School to recoup the charitable pledge promised to them by Stride Inc., returning to their support of students and teachers in schools across the country.
About Future of School
Future of School is a national public charity mobilizing change in American K–12 education from a one-size-fits-all system to one that ensures all students reach their unbounded potential, no matter where their learning takes place. More information is available at www.futureof.school.
A copy of the petition and other documents related to the lawsuit can be downloaded here and at LawsuitPressRelease.com.
Contact:
John P. David
john@LawsuitPressRelease.com
1.888.859.6637
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