Supreme Court Strikes Down President Biden's Student Loan Forgiveness Plan
Landmark Decision Invalidates Broad Authority of Executive Branch
Court Rules that President Exceeded Authority Granted by Congress
June 30, 2023 11:00 AM EDT - CBS News: In a landmark decision that has far-reaching implications for the scope of executive authority, the Supreme Court on Friday invalidated President Biden's student loan forgiveness plan.
The plan, announced in August 2022, would have forgiven up to $20,000 in federal student loans for borrowers who meet certain income requirements. However, a group of Republican-led states challenged the plan in court, arguing that the President lacked the authority to implement such a sweeping program without congressional approval.
In a 6-3 decision, the Supreme Court agreed with the plaintiffs, ruling that President Biden's plan exceeded the authority granted to him by Congress. The majority opinion, authored by Justice John Roberts, stated that the plan was "a significant exercise of the executive branch's power" that required "clear authorization from Congress."
The decision is a major setback for President Biden, who has made student loan forgiveness a key plank of his economic agenda. It also raises questions about the future of other executive actions taken by the Biden administration, particularly those that rely on broad interpretations of existing laws.
The ruling is likely to have a significant impact on the estimated 45 million Americans who have federal student loans. It remains to be seen whether Congress will enact legislation to authorize student loan forgiveness or if the Biden administration will explore other options to provide relief to borrowers.
Comments