Penn State has to respond to a complaint filed against them by Banyan Homes Inc. by the end of this week, said Banyan's lawyer Mike Finio, of Saul Ewing LLP.
Banyan Homes Inc. sued the university last month after Circleville Farm was sold to Lezzer/Haubert Partnership, despite Banyan's higher bid.
Circleville Farm is 155 acres of farmland located about two miles west of the Penn State campus.
Lezzer/Haubert bought the land at a November Board of Trustees meeting for $2.9 million, after a year-long controversy in the community. Banyan Homes offered $4.2 million.
The sale will be made official when Lezzer/Haubert can rezone the property to allow for the construction of residential units.
Penn State spokesman Tysen Kendig said the university weighed financial, community and environmental concerns when deciding where to award the contract.
Kendig said in December the university was not at fault and had weighed all proposals equally.
Additional information should be available next week after Penn State answers the complaint.

