The state of student debt in the United States remains in limbo as the Missouri district court has halted the Biden Administration from implementing their plans, claiming lack of legal authority and a need for Congressional approval. Under the Higher Education Act of 1965, the Biden Administration claims that the Department of Education does have the legal authority to “compromise, waive, or release” student debt. However, even despite the language being rather clear, Biden’s student debt forgiveness and repayment plans are likely to be struck down, especially given the overturning of the Chevron Doctrine in June 2024. Established in 1984 by the Supreme Court, the Chevron Doctrine was a legal principle that required courts to defer to an agency's interpretation of a statute if that interpretation was reasonable. Analyzing Missouri v. U.S. Department of Education reveals that the recent removal of the Chevron Doctrine will further hinder the Department of Education's ability to cancel student debt, despite its clear and stated power to do so in various legal statutes. This analysis delves into the judicial challenges Biden’s program has faced and examines the implications of the Missouri lawsuit.
Read More