Biden administration to ask Supreme Court to reinstate student loan relief plan

The Justice Department said Thursday it plans to ask the Supreme Court to reinstate a Biden administration plan that would provide student loan forgiveness to millions of Americans. This comes after the plan was blocked by two separate Federal Court rulings.

On Monday, the 8th Circuit Court of Appeals became the last to block the Biden administration’s debt relief program. In a filing Thursday, the Biden administration said it plans to appeal that decision to the Supreme Court.

“The government will file a petition with the Supreme Court to vacate a separate injunction against the Secretary’s action brought by the Eighth Circuit earlier this week,” the Justice Department court filing reads.

The disclosure was made in a filing for a separate case appealing a decision of November 10 from a Texas federal judge who also blocked the student loan relief plan, calling it “illegal.” The Biden administration is asking the 5th Circuit Court of Appeals to stay the Texas judge’s decision.

On November 11, the Biden administration announced that he had ceased taking applications for the relief program in response to the Texas judge’s decision. The Department for Education said it would keep requests from the roughly 26 million people who have already asked for forgiveness.

The 8th Circuit Court of Appeals decision came in response to a lawsuit jointly filed by six Republican-led states that argued the Biden administration was overstepping its executive powers.

The Texas judge’s decision followed a lawsuit by a conservative group called the Job Creators Network Foundation, which argued the Biden administration violated federal procedures by not seeking public input on the program.

President Biden announced in august that his administration forgive up to $20,000 in student loan debt for millions of Americans. Nearly 20 million people will be eligible for full debt cancellation under the new plan.

Borrowers who received Pell Grants, assistance for eligible low- and middle-income families, can get up to $20,000 in debt forgiveness, while other borrowers can get relief of up to $10,000. $.

Only people who earned less than $125,000 in 2020 or 2021 and married couples with a total annual income of less than $250,000 are eligible for loan relief under the program.

Caroline Linton and Aimee Picchi contributed reporting.


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