The United States Supreme Court went down to the wire on two decisions that impact whether or not to uphold President Joe Biden’s plan to forgive up to $20,000 in student debt for qualifying Americans.
"Because respondents fail to establish that any injury they suffer from not having their loans forgiven is fairly traceable to the Plan, they lack Article III standing, so the Court has no jurisdiction to address their procedural claim," said in the Department of Education v. Brown ruling Friday.
"The HEROES Act provides no authorization for the Secretary’s plan when examined using the ordinary tools of statutory interpretation—let alone 'clear congressional authorization' for such a program," said the Biden v. Nebraska opinion.
The rulings came on the court’s last day, as the justices will head on their summer break before reconvening this fall.
According to POLITICO, Biden v. Nebraska, is a case in “which six Republican state attorneys general argue that the loan forgiveness policy violates the separation of powers and the Administrative Procedure Act,” and Department of Education v. Brown is related to “two student loan borrowers who do not qualify for relief are suing to vacate the program. Both cases question Biden’s invocation of the post-9/11 HEROES Act as justification for the program, with the challengers arguing that he overstepped his authority.”
Biden’s loan forgiveness program was challenged shortly after it was announced, with those suing arguing that it was unfair and should not be allowed to stand.
The plan would have offered up to $20,000 in forgiveness for students that went to school on Pell Grants and up to $10,000 in relief for those who did not. To qualify, Americans had to make under $125,000 a year.
“In keeping with my campaign promise, my Administration is announcing a plan to give working and middle-class families breathing room as they prepare to resume federal student loan payments,” Biden said when announcing the program last September.
Student loan repayments will begin again this October after being paused due to the pandemic in March 2020, though the Biden administration has not shared the exact date. Interest for federal loans will start collecting again on Sept. 1, 2023.
“We will notify borrowers well before payments restart,” StudentAid.gov says on its website.
For more information on student loan repayments and how the process will start again, check out Audacy’s coverage of what you need to know.
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