A federal appeals court Wednesday ruled against President Joe Biden's $400 billion student loan forgiveness program. This tees up the latest dispute over the controversial debt relief effort likely to be appealed to the Supreme Court.
The brief order from the New Orleans-based U.S. Court of Appeals for the 5th Circuit let stand a lower court ruling that had blocked the program's implementation. In response to a barrage of lawsuits, the Biden administration hadThe lawsuit was filed by the conservative-leaning Job Creators Network Foundation, which describes itself as"a nonpartisan organization founded by entrepreneurs who believe the best defense against bad government policies is a well-informed public." U.S.
Under the president's plan, borrowers would be eligible for up to $10,000 or $20,000 in debt relief, depending on their income and whether they received a Pell Grant in college. Borrowers must earn less than $125,000 a year or reside in households that make no more than $250,000. As many as 40 million people would qualify for Biden's plan, and some would see their entire balance erased.
The pair argued they were denied an opportunity to comment and offer input on the president’s student loan debt forgiveness plan. They asserted the government violated a federal law that usually requires agencies to seek public comment before implementing new rules and regulations.
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