Can a foreign academic institue sue its employee (grad student) if he/she breaks the contract?

In the contract, they state that for providing a scholarship to their grad students in a US institute, the candidate must return to his country to serve as a faculty member in a period that is equivalent to the number of years he studied in the US, or should pay all the fees and expenses that he got during his scholarship. The thing is, suppose this grad student who earned his US higher degree decided to settle in US for various reasons, can the academic institiue that belongs to the government sue the it's student in US territories ? Thank you