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Court of Appeals Deals Another Blow to Biden’s Student Loan Forgiveness Plan

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WASHINGTON (77WABC) — There’s been another blow for President Joe Biden’s student loan debt relief program.

The New Orleans-based 5th U.S. Circuit Court of Appeals rejected the Biden administration’s request to lift a stay put on the program by a lower district court in Texas.

In court documents filed Wednesday, the 3-judge panel unanimously chose not to override a decision by U.S. District Judge Mark Pittman on Nov. 10. It called the student loan handouts unlawful and temporarily suspended it.

The New Orleans court did choose, however, to expedite the case in its docket to the “next available” oral argument.

Biden’s student loan handout intends to forgive $10,000 in federal student loans per borrower and double that for Pell grant recipients. Biden’s Department of Justice previously said it would request the U.S. Supreme court to intervene if the 5th Circuit denied the appeal.

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