The Supreme Court is set to hear arguments on President Biden's student debt relief plan. Here's what to know.
Arguments in the pair of cases to be heard by the justices Tuesday are the culmination of a political and constitutional clash that has left millions of borrowers in limbo. The Department of Education in November stopped accepting applications for the program and loan service providers are prevented from discharging any debt as a result of the legal challenges.
"The court has made it very clear that you need a concrete harm, a concrete injury that is not abstract or hypothetical. It's an actual harm or imminent harm, and they've made that very clear, time and again, in their decisions," he said. Photo by Larry French/Getty Images for We, The 45 Million Brown does not qualify for debt relief, as her loans are held by commercial entities, and Taylor is eligible for $10,000 in loan forgiveness. The borrowers claim the education secretary improperly promulgated the plan without the notice-and-comment process, depriving them of the opportunity to comment on the program.
But"states just don't have a right to bring this case," he said."Specifically in the case of Missouri, their case is far too speculative to reach the requirement for Article III standing that the Supreme Court has set out. It relies on a very weak chain of events, and that's just not enough, it's too attenuated to establish standing.
In the less than four weeks that the application was available, more than 26.2 million people applied, and over 16 million of those applications were approved by the Department of Education, according to the White House. The Trump administration, followed by the Biden administration, paused federal student-loan payments during the COVID-19 pandemic, with the most recent extension running through June.
Before announcing his student loan initiative, Mr. Biden faced pressure from some Democrats in Congress and activists to take action to help the more than 43 million borrowers with outstanding federal student loan debt totaling $1.6 trillion.
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