The "Fairness in Higher Education Accreditation Act" amends the Higher Education Act of 1965 to revise the criteria for federal recognition of accrediting agencies for institutions of higher education. A key provision requires accrediting agencies to ensure that institutions promote a right of free inquiry , which is defined based on whether the institution is public or private, with specific exemptions for certain religious institutions. This aims to safeguard academic freedom and free speech within accredited institutions. Furthermore, the bill explicitly prohibits accrediting agencies from imposing requirements, establishing standards, or making recommendations concerning the race, color, sex, or national origin composition of an institution's student body, faculty, or staff, or their representation in leadership roles or honors. Agencies must permit institutions to adopt any lawful policy regarding these factors to be recognized as a reliable authority. Institutions facing adverse accreditation actions due to an agency's violation of these new prohibitions may pursue a civil action.