Despite SCOTUS ruling, options remain open for debt relief for Biden Administration

DELMARVA- The Supreme Court this week ruled against student debt relief in a 6 to 3 vote that would block 20 thousand dollars of debt relief for the nation’s borrowers.

The decision, found the Biden administration’s actions to modify the 2003 heroes act to expand to all borrowers were unconstitutional.

Professor Emeritus of Constitutional Law at Delaware State University Dr. Samuel Hoff tells us the court’s issue centered on the use of the term emergency, which would have authorized the spending of over 30 billion dollars a year for the next ten years.

“The majority said that this is not really an emergency under the definition and that in a so-called major question doctrine, it would be necessary for Congress to authorize such an expanded share of funds,” Dr. Hoff said.

Dr. Hoff tells us the Biden administration still has the option to use the Higher Education Act to help pause debts as well as move through Congress to allocate the spending for debt relief.

Dr. Hoff tells us he believes the fact that Justice Samuel Alito received lavish gifts from heads of student debt financing companies, may hurt the image of the court and the legitimacy of the decision.

“It’s an issue that has gained traction with the court being perceived as moving backward, and calls for term limits, or upping the number of justice has increased this year,” Dr. Hoff said.

The reversal included a 60-day pause on payments as further action is taken to get payments restarted after nearly 2  years of paused interest rates.

 

 

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