A federal appeals court on Monday blocked the Biden administration from moving ahead with its mass student-debt cancellation program, dealing another blow to the administration’s plan after it was ruled unlawful by a federal judge in Texas last week.
A three-judge panel of the Eighth U.S. Circuit Court of Appeals granted a preliminary injunction against President Biden’s plan to erase hundreds of billions of dollars in student loans, at the request of six states that sued to challenge the debt relief.
The six-page ruling wasn’t a decision on the legal merits of the Biden plan and turned for now on the preliminary issue of whether any of the six states had legal standing to challenge it. The court said that at least the state of Missouri likely had a proper basis for bringing the case.