Nov 4, 2022 - Politics & Policy

Supreme Court rejects second request to block Biden's student loan plan

Justice Amy Coney Barrett. Photo: Al Drago/Bloomberg via Getty Images

Supreme Court Justice Amy Coney Barrett on Friday turned down a second request to block the Biden administration’s student loan debt relief program, per the Hill.

Driving the news: Barrett did not refer the case to the full court and instead issued a one-line order rejecting the emergency application from the Pacific Legal Foundation.

  • The libertarian legal group is representing two Indiana-based lawyers who claim the program was instated hastily and wasn't authorized by Congress.
  • They also argue that it's an abuse of presidential power and will require some borrowers to face excess tax liability under state law.

What they're saying: "Practically since this program was announced, the administration has sought to avoid judicial scrutiny. Thus far they have succeeded," Caleb Kruckenberg, an attorney at Pacific Legal Foundation, said in a statement to Axios.

  • "But that does not change the fact that this program is illegal from stem to stern. We're disappointed by today's denial but will continue to fight this program in court."

Flashback: Justice Barrett also turned down a Wisconsin taxpayer group's request to block the student loan forgiveness plan last month.

The big picture: Nearly 26 million Americans have already applied for the relief, according to the White House, but that relief remains on hold as a bid from six Republican states to halt the program plays out in court.

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