Harvard Law Professor Predicts Supreme Court Will 'Tear Down' Student Loan Forgiveness Program After Hearing Case

The nine justices of the U.S. Supreme Court have set aside time to hear arguments concerning President Joe Biden's student loan forgiveness plan on February 28th. This means that those with student loan debt who have been in limbo about the future of their loans will soon have more information.

Since President Biden announced his proposal to forgive up to $20,000 in student debt for millions of Americans, several Republican and conservative organizations have taken legal action in an attempt to stop the policy from being implemented. They claim that the President is overstepping his authority and that the policy is unjust in various ways.

Two legal challenges have been successful in temporarily halting the president's plan from being implemented. The Biden administration has appealed the decisions, and the Supreme Court has declared that it will have the ultimate authority on the policy, which will remain suspended until a ruling is made.

A majority of Americans are struggling to make ends meet, as evidenced by the fact that 63% of them are living paycheck to paycheck. The used car market has seen a decrease in prices of 3.3% from the same time last year.

The Supreme Court will be looking at the lawsuits filed by six states with Republican leadership, which claim that the loan forgiveness will have a negative effect on state organizations that make money from federal student loans. Additionally, the Job Creators Network Foundation, a conservative advocacy group, is supporting a lawsuit from two borrowers in Texas who are not eligible for the president's relief.

The Supreme Court's swift agreement to hear both cases implies that they are eager to provide a definitive ruling on the policy that affects more than 30 million people, according to Laurence Tribe, a Harvard law professor.

Professor Tribe, along with other legal professionals, is not optimistic that the plan will be upheld by the Supreme Court.

According to Tribe, the program is essentially being put on hold until it is likely to be taken apart.

Mark Kantrowitz, an expert in higher education, believes that a quick decision on the president's plan is not a good sign for its supporters, as it is easier to rule against the idea of forgiveness.

Dan Urman, a law professor at Northeastern University, anticipates that the Supreme Court will decide against Biden. According to Urman, the conservative justices think that government agencies have too much power and are infringing upon the separation of powers.

Tribe argued that the plaintiffs were attempting to disguise their dissatisfaction with the assistance given to students by making legal claims about the division of authority.

Tribe commented that some view student loan forgiveness as a privilege for the wealthy, while Republicans have not objected when other groups receive relief. He added that this is seen as those with privilege getting ahead of those who have had to pay back their loans.

A study conducted in the previous month revealed that one of the litigants in the Texas legal action was the recipient of more than $45,000 in debt forgiveness through the Paycheck Protection Program, which supplied loans to small businesses affected by the Covid pandemic.

The Biden administration has maintained that their student loan forgiveness plan is in accordance with the law, citing the Heroes Act of 2003 which gives the education secretary the power to waive regulations concerning student loans during times of national crisis.

Since March 2020, the United States has been in a state of emergency.

The Biden administration must submit its opening brief in the cases to the court by January 4th. The plaintiffs will then have approximately one month to respond.