A small-business advocacy group has filed a new lawsuit seeking to block the Biden administration’s efforts to forgive student loan debt for tens of millions of Americans—the latest legal challenge to the program
Student loan borrowers stage a rally in front of The White House to celebrate President Biden cancelling student debt and to begin the fight to cancel any remaining debt on Aug 25, 2022 in Washington.seeking to block the Biden administration’s efforts to forgive student loan debt for tens of millions of Americans — the latest legal challenge to the program.
“This bailout is going to affect everyone in this country because of the mass size of the program,” she said. “And everyone should have the opportunity to provide their views to the government.” She added: “These universities need to be held accountable for this student debt crisis.” Six Republican-led states filed suit late last month, accusing the Biden administration of overstepping its executive powers. And the Pacific Legal Foundation, a Sacramento, California, legal advocacy group, filed suit in federal court in Indiana, calling the plan an illegal overreach that would increase state tax burdens for some Americans who get their debt forgiven.
The suit includes two plaintiffs: one who does not qualify for debt forgiveness because the plan excludes commercially held loans that are not in default, and one who did not receive a Pell grant and is therefore entitled to less debt forgiveness under the plan.“Behind closed doors, the Department promulgated a new Debt Forgiveness Program that will affect tens of millions of Americans and cost hundreds of billions of dollars,” the suit reads.
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