University of Michigan Pays $14,000 to Settle Suit

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ANN ARBOR, Mich. (AP) -- The University of Michigan has settled a lawsuit brought by a student group that said it was improperly denied funding for an event featuring a speaker who previously had sued the school.

The Ann Arbor News reports Friday that Michigan paid $14,000 as part of the settlement with Young Americans for Liberty.

The organization filed the suit last fall after the university turned down an application requesting $1,000 from student fees to pay for a speaking engagement by Jennifer Gratz on the topic of affirmative action.

Gratz sued over the school's racial preferences in 1997 after being rejected for admission.

Young Americans for Liberty attorney David Hacker says "universities should encourage, not shut down, the free exchange of ideas."

The Associated Press left a message with a university spokesman.