Texas Court Declared Student Debt Plan Unconstitutional
November 17, 2022
The Student Debt Relief Plan is an “unconstitutional exercise of Congress’s legislative power,” said Judge Mark Pittman of the Northern District of Texas.
On Nov. 10, the Wall Street Journal reported that Pitman, struck down the Student Debt Relief Plan leading more then 20 million borrowers who already submitted applications for relief to wonder: Now what?
“We are disappointed in the decision of the Texas court to block loan relief moving forward. Amidst efforts to block our debt relief program, we are not standing down. The Department of Justice has appealed today’s decision on our behalf, and we will continue to keep borrowers informed about our efforts to deliver targeted relief,” said Miguel Cardona, U.S. Secretary of Education.
As previously reported by The Current, the Federal Student Debt Relief program was put on hold on Sept. 22 due to jurisdictional concerns regarding authority to forgive student debt. “We believe strongly that the Biden-Harris Student Debt Relief Plan is lawful and necessary to give borrowers and working families breathing room as they recover from the pandemic and to ensure they succeed when repayment restarts,” Cardona said.
According to StudentAid.gov, access to “Student Loan Debt Relief Is Blocked. At this time, we are not accepting applications. If you’ve already applied, we’ll hold your application. Subscribe and check back here for updates. We will post information as soon as further updates are available.”
The decision is expected to be presented to the Supreme Count.