The extension is on behalf of six state attorneys general and follows a block of the student loan plan from a Texas federal judge last week.
11/14/2022 2:35 P.M.
1.5 minute read
The U.S. Court of Appeals for the 8th Circuit has extended a block on the Biden administration’s student loan forgiveness plan in response to a lawsuit from six state attorneys general challenging the plan.
A group of state attorneys general from Nebraska, Missouri, Arkansas, Iowa, Kansas and South Carolina filed suit challenging the plan and the Biden administration’s overreach of its executive powers, ACA International previously reported. The plan was already put on hold once as a result of the states’ case when the 8th Circuit Court of Appeals granted a temporary order on behalf of the attorneys general. Their case was dismissed at the district court level.
The 8th Circuit appeals panel has extended the block to remain in effect until further notice from the 8th Circuit of the U.S. Supreme Court, The Hill reports.
Meanwhile, last week, a Texas federal judge ruled that the Biden administration’s student loan forgiveness plan is illegal in a case brought by the Job Creators Network Foundation, a small-business advocacy group.
The group argued that the Biden administration violated federal procedures by failing to seek public input when implementing the student loan forgiveness plan, ACA previously reported.
The Texas court “found that the law does not provide the executive branch clear congressional authorization to create the student loan forgiveness program,” according to an article from CNN.
The U.S. Department of Justice has plans to appeal the Texas judge’s decision from last week in the 5th Circuit on behalf of the Biden administration and U.S. Department of Education.
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