Supreme Court leaves Biden's student debt relief plan on hold, sets arguments for February

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Supreme Court leaves Biden's student debt relief plan on hold, sets arguments for February
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Supreme Court leaves President JoeBiden's student debt relief plan on hold, sets arguments for February

The court's decision means the rollout of debt cancellation will remain blocked, at least until then. The Biden administration had petitioned the high court to allow the program to proceed while several legal challenges were considered by lower courts. The program aims to include debt cancellation of up to $20,000 in relief for Pell Grant recipients, while millions of borrowers qualify for $10,000 in relief.

Justice Department Solicitor General Elizabeth Prelogar filed an emergency application on Nov. 18 on behalf of the Biden administration, asking the justices to lift an injunction imposed by the U.S. Court of Appeals for the 8th Circuit. In a separate case, a federal judge in Texas halted the plan. The U.S. Court of Appeals for the 5th Circuit on Wednesday declined to lift the hold, meaning the Biden administration could soon appeal that case to the justices as well.

The advent of a second federal appeals court denying the administration's bid to lift a ruling blocking the student debt relief policy is a major blow to the administration, which has argued the HEROES Act of 2003 provides broad authority for the Education Department to forgive millions of borrowers' student debt.

But while the Biden administration faces an uphill legal battle, lawyers and experts contend the plaintiffs who have succeeded at the appeals court level are still hard-pressed to prove they have legal standing to bring the challenges to Biden's plan.

Filitti contends the justices could more narrowly seek to determine"who, if anyone, has a right to sue to block Biden’s action."

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