DLNews Education:

The Supreme Court has rejected a controversial student Loan forgiveness plan that would have allowed millions of Americans to wipe out more than $400 billion in federal student debt. In a 6-3 decision written by Chief Justice John Roberts, the court ruled that the Department of Education exceeded its authority when it moved to wipe out loans held by 43 million Americans during the Covid-19 pandemic. The court ruled that the administration's actions were an unconstitutional use of its emergency powers and the HEROES Act, passed by Congress, to allow certain kinds of loan relief during emergencies.

The justices voted in favor of two borrowers, Myra Brown and Alexander Taylor, who sued the Department of Education over its move. Both borrowers said they were suffering financial hardship because of the Covid-19 crisis and had taken out loans to go to college. They also said they could not find work due to the pandemic and that their loans had not been deferred because of the shutdowns. The borrowers also noted that the administration's reliance on emergency powers was "disruptive" and violated their Fifth Amendment rights against self-incrimination.

During the February hearing, the justices seemed skeptical that the challengers had standing to sue over the administration's loan cancellation plans. The states argued that a state-created entity known as MOHELA, which services student loans, would lose money under the program and that Missouri had the right to sue on behalf of its citizens. But several justices questioned whether MOHELA was a state agency and whether the states needed the legal standing to bring their suit.

In his decision, Roberts wrote that the Department of Education's actions violated the separation of powers because it did not seek and obtain approval from Congress before implementing the loan forgiveness programs. The justices wrote that it was the duty of the courts to ensure that the executive branch acts within its statutory and constitutional powers.

The justices voted to strike down the loan cancellation program but left the door open for future relief under the HEROES Act. The judges did not issue any other opinions on the cases. The high court has a busy term ahead, with many contentious cases involving abortion rights, gun ownership, affirmative action, and other sensitive issues. The court has a 6-5 conservative majority, and its liberal justices have split on several important decisions. The following term begins in October.