Biden Effort To Resurrect The Student Loan Proposal Was Rejected By A Federal Appeals Court

Student Loan: On Wednesday, a federal appeals court declined to put on hold the verdict of a judge in Texas who found that President Joe Biden’s plan to cancel hundreds of billions of dollars in student loan debt was unlawful. The judge in question was from the state of Texas.

Biden Effort To Resurrect The Student Loan Proposal Was Rejected By A Federal Appeals Court

The request made by the Biden administration to pause a judge’s order that vacated the $400 billion student debt relief program on November 10 in response to a lawsuit brought by a conservative advocacy group was denied by the 5th U.S. Circuit Court of Appeals, which has its headquarters in New Orleans.

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The decision made by U.S. District Judge Mark Pittman in Fort Worth, Texas, was one of two decisions made across the country that has prevented the United States Department of Education under the leadership of President Joe Biden from moving forward with the process of granting debt relief to millions of borrowers.

Biden Effort To Resurrect The Student Loan Proposal Was Rejected By A Federal Appeals Court
Biden Effort To Resurrect The Student Loan Proposal Was Rejected By A Federal Appeals Court

The administration has made a request to the Supreme Court of the United States to lift an order that was issued by the 8th U.S. Circuit Court of Appeals in St. Louis. This order prevented the administration from canceling student loans and was issued at the request of six states that are led by Republicans.

In a brief order that was issued on Wednesday, a three-judge panel of the 5th Circuit Court of Appeals declined to put Pittman’s verdict on hold while the administration challenged his decision; but, the court requested that the appeal be considered as quickly as possible.

On the panel were two people appointed by the Republican party, while one judge had been nominated by Barack Obama, the previous Democratic president. Former Republican President Donald Trump is the one who appointed Pittman to his position.

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In August, President Biden made the announcement that the federal government of the United States would erase up to $10,000 in student loan debt for borrowers with annual incomes of less than $125,000 or $250,000 for married couples. Students with lower incomes who attended college and were recipients of Pell Grants will have up to $20,000 of their existing student loan debt forgiven.

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