Lawsuits claim Biden Government's student debt relief order is illegal

Photo Credit: Gage Skidmore

Millions of Americans face being unable to pay off thousands of dollars in debt if a recently announced order isn't blocked.

As part of the order announced by Biden and Cardona in August, people who qualify for relief may receive up to $20,000 in relief for student debt. Approximately 40 million Americans could benefit from the program, according to administration officials.

There is nothing lawful or appropriate about loan cancellation. A policy that will have a profound and transformative impact on the economy threatens to be enacted in an end-run around Congress. One lawsuit filed in federal court in Indiana demands an immediate end to the administration's lawless actions.

According to the case filed in U.S. court in Oregon, under "plain language and context" of the law cited by the administration, Cardona has no authority to discharge or forgive student loans on a blanket basis.

The White House did not immediately respond to a request for comment from the Department of Education.

27 September 2022