Appeals Court Halts Biden’s Student Debt Relief Plan

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A federal appeals court has temporarily blocked President Joe Biden’s student debt relief plan until challenges to it from six states have their day in court.

Biden announced in August he will cancel $10,000 in student loan debt for each borrower making less than $125,000 a year.

In a Friday evening ruling, the U.S. Court of Appeals for the Eighth Circuit ruled no debts are to be discharged while cases against the decision are pending.

Shawna Chen of Axios reported, “A federal appeals court temporarily blocked President Biden’s student debt relief program on Friday, barring federal debt cancellation as six Republican states’ bid to halt the program plays out in court.”

The court’s order reads:

Appellants’ emergency motion for an administrative stay prohibiting the appellees from discharging any student loan debt under the Cancellation program until this Court rules on the appellants’ motion for an injunction pending appeal is granted.

The request for expedited briefing on the motion for an injunction pending appeal is granted as follows: Appellees’ response in opposition shall be due on or before 5:00 PM Central. Monday. October 24. 2022 and the Appellants’ reply, if any, is due on or before 5:00 PM Central, Tuesday, October 25. 2022.

Mark Joseph Stern of Slate offered additional context in a Twitter thread about the ruling:

His stay does not mean that the 8th Circuit will permanently block student debt relief. But it’s not a good sign at all. There’s only one Democratic appointee on the entire court. It’s easy to see the Republican judges accepting the states’ ridiculous theory of standing.

[…]

An actual administrative stay would have halted the district court decision that found no standing. But this order imposes a nationwide injunction against student debt relief. The 8th Circuit is lying about what it’s doing here to cover up the procedural improprieties.

This story is breaking and may be updated.