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What it boils down to is accountability. Universities don't care to be hit up with suits should injury or death occur due to student actions.
I believe that accountability is why we're seeing growth of the Greek system in many places. In the past few years, several colleges with locals--such as mine--have told the locals to either nationalize or leave. The colleges know that in this day and age, nationals will likely be forcing their chapters to shape up or leave. Our locals weren't accountable to anyone and pretty much did as they pleased.
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