- The Biden administration asked for a pause in a Supreme Court ruling that would have blocked student debt relief.
- Biden requested that SCOTUS hear arguments in the case next January, even if the ruling is not paused by the Supreme Court.
- Thursday’s Supreme Court decision was that it would hear arguments in a separate case to block relief.
President Joe Biden will once again challenge the nation’s highest court to forgive student loans.
Biden’s Justice Department asked the Supreme Court on Friday to intervene as a result of a lawsuit that prevented student-loan forgiveness.
As reported for the first time by PoliticoThe department is responding to a request for information. Forensic LawsuitTwo student-loan borrowers sued Biden because they were not eligible for the $20,000 in debt relief he proposed.
The Justice Department has asked the Supreme Court to stop the lower court’s order blocking relief or to take up the case along with a separate lawsuitThe Court Already agreed to take on early next year — a case brought on by six Republican-led states who argued the debt relief would hurt their states’ tax revenues.
The Legal filingThe Justice Department stated that the lower court had “profoundly erred” in stating that the Education Secretary was able to grant debt relief, even though plaintiffs did not expressly agree with that assertion.
“The court erred, in considering a claim that respondents have never raised; respondents don’t have standing to contest the substantive lawfulness the plan; in any case the plan is lawful; and it was wrong in vacating this plan nationwide,” said the legal filing.
Although the Justice Department suggested that the Supreme Court could halt the Texas court’s ruling as a preferred outcome, it is likely that the court will. Act as it did ThursdayIt will now hear oral arguments about whether student-loan forgiveness should still be allowed.
As legal proceedings progress, 26 million borrowers will not see their debts reduced. But a bit of good news came for them last week — Biden announced he would be extending the student-loan payment pause in light of the lawsuits through June 30, or until the lawsuits are resolved, whichever comes first.
Administration remains also confident in its legal authority to enact broad credit relief as part pandemic recovery measures.
Miguel Cardona, Education Secretary, said that the student debt relief program would help those most at risk from default or delinquency due to the pandemic. SubmittedOn Twitter, Friday.@POTUSI will continue to fight against attempts to deny middle-class families the relief they deserve and need.
