Up to 60 students are pursuing the University of Sydney for "deceptive conduct" after it announced plans to merge its Sydney College of the Arts with the faculty of art and design at cross town rival the University of NSW.

Hundreds of students look set to be forced out of the historic, heritage listed Rozelle campus where they had planned on completing their degrees, while the future of staff remains uncertain.

The solicitor representing the students, Thomas McLoughlin, said they would pursue the University of Sydney for allegedly breaching consumer law.