The Biden administration’s bid to forgive student loans has hit a couple of legal roadblocks. As of yet, the US Supreme Court is not one of them.
Justice Amy Coney Barrett has rejected an emergency request to block the federal student loan debt relief program. This specific case deals with two Indiana borrowers who claimed they would be harmed by the program due to the tax implications. This is the second time she has rejected an emergency request in regard to the controversial program. Last month she declined to block the debt relief plan in a similar situation dealing with a taxpayer in Wisconsin.
This is significant because the debt relief plan is seen as a liberal program and Amy Coney Barrett is one of the more conservative justices on the bench.
This doesn’t mean the debt relief program is in the clear just that it will not be halted by the Supreme Court in the meantime.
The proposed student loan forgiveness plan forgives up to $10,000 in federal student loans for most eligible borrowers and $20,000 for Pell Grant recipients. The plan was meant to fulfill a campaign promise made by Joe Biden but has been challenged in court by conservatives who claim it is unfair to the taxpayers.
[…] This is not the first legal challenge faced by the Biden administration in its attempt to forgive student loans. The program was already technically on hold from a federal appeals court in October. That decision put a halt to the program until the appeals played out. This latest decision actually struck down the program altogether. The Biden Administration has already filed an appeal. It is anticipated by many that this will eventually reach the U.S. Supreme Court though as of now they have declined to hear the case. […]
[…] Supreme Court has already been petitioned to quickly block the program but thus far has declined to do so. But this injunction likely sets up a Supreme Court battle as only they can overrule the […]