Federal Judge Blocks Key Parts in Biden’s Student Loan Repayment Plan – EVOL

On June 24, federal judges in Missouri and Kansas issued separate rulings blocking key parts of the Biden administration’s Saving on a Valuable Education (SAVE) program. The initiative aims to reduce student loan payments and forgive debts.

A new version of the program that would reduce payments and shorten maximum repayment periods was set to take effect in July.

U.S. District Judge Michael Crabtree in Kansas ruled that Republican-led states were likely to prevail in their argument that the department did not have clear congressional authority to implement this aspect of the program.

“Defendants have offered colorable, plausible interpretations of the Higher Education Act that could authorize the SAVE Plan, but those interpretations fall short of clear congressional authorization,” Judge Crabtree wrote on Monday.

However, he chose not to halt the entire program, citing concerns about the feasibility of undoing parts of the plan already in effect. He also noted that Republicans’ delay in filing their lawsuits weakened their argument for an urgent need to stop the entire program.

The ruling noted the judge’s reluctance to issue a nationwide injunction.

On the same day, in another ruling, U.S. District Judge John Ross of the Eastern District of Missouri, appointed

SHARE THIS:

READ MORE >>>

Subscribe to Our Free Newsletter

VIEW MORE NEWS