‘Flagrantly Illegal’: Lawsuit Hits Biden Over Student Debt Cancellation | Eastern NC Now

    Publisher's Note: This post appears here courtesy of the The Daily Wire. The author of this post is Ben Zeisloft.

    The Pacific Legal Foundation filed suit on Tuesday against the Biden administration for its policy to cancel up to $10,000 in student debt for millions of borrowers.

    The group argued in a complaint that President Joe Biden's use of the HEROES Act, a 2003 law meant to aid Iraq War veterans and their families, as justification for the move occurred with "breathtaking informality and opacity." Frank Garrison, a public defense attorney at the Pacific Legal Foundation and the plaintiff in the lawsuit, will personally face a tax liability from the state of Indiana due to the cancellation of his debt.

    "Congress did not authorize the executive branch to unilaterally cancel student debt," Pacific Legal Foundation attorney Caleb Kruckenberg said in a statement. "It's flagrantly illegal for the executive branch to create a $500 billion program by press release, and without statutory authority or even the basic notice and comment procedure for new regulations."

    The student loan cancellation plan applies to individuals earning less than $125,000 annually. Biden also decided to extend the pause on federal student loan repayment to January 2023 and will permit borrowers with undergraduate loans to cap payments at 5% of monthly income.

    The complaint added that the Department of Education failed to comply with the "notice-and-comment process required for rulemaking" when charting the debt cancellation policy and did not "solicit any public input."

    "Cancelling student debt is unjust to those who have paid their loans or never took any. It will only lead to more calls for government intervention in education at taxpayers' expense," Pacific Legal Foundation senior attorney Steve Simpson added. "Loan cancellation will make Americans more divided, as those who paid their loans - or never went to college - will have good reason to think that we no longer have a government of, by, and for the people."

    Indeed, one-third of student debt is held by the wealthiest 20% of households, according to data from the Brookings Institution. In comparison, only 8% is owed by the bottom 20% - largely because graduate degrees are often necessary for high-paying professions.

    Eliminating $10,000 of student loans per borrower will cost $298 billion in 2022 and a total of $329 billion by 2031 if the policy is renewed each year, according to a nonpartisan analysis from the University of Pennsylvania's Wharton School, which also found that 42% of the benefit would impact Americans earning more than $82,400 per year. Another estimate from the Congressional Budget Office forecasts that the overall cost will be $400 billion, with another $20 billion incurred by the extended pause on repayments.

    The Wharton analysts said that a permanent loan cancellation announcement could prompt students to "eventually reorganize their financing toward additional borrowing." Although the policy could increase access to higher education, universities themselves could capture the value "in the form of higher prices" as they raise tuition.

    The Pacific Legal Foundation contended that the student loan cancellation is an "election year ploy" - marking the most severe abuse of power since former President Donald Trump imposed a nationwide eviction moratorium ahead of the 2020 election through the Centers for Disease Control and Prevention. The agency claimed that "eviction moratoria - like quarantine, isolation, and social distancing - can be an effective public health measure utilized to prevent the spread of communicable disease."


poll#160

Are you in favor of the Joe Biden Executive Order, just weeks before the midterm elections, to shift the Higher Education debt, of up to $10,000.00 per individual, to the taxpayers of this Republic (estimated at 1/2 trillion)?

  Yes, it costs so much to go to college, and the right job is so hard to find in my focus of study.

  No, one's individual debt should be born by the beneficiary of that debt; certainly NOT by others that work to support their own families and pay their own debts, and their taxes.

  I am bereft of knowledge, so who cares?

456 total vote(s)     What's your Opinion?

poll#162

In what may be the most divisive period in modern American History, even more divisive than the turbulent sixties due to today's lack of patriotism, consider what are the major catalysts causing so much of this calamity of conflict, and vote: What most instigates the division of America, on this day September 20, 2022?

  Racism within our society

  Sex realignment to the detriment of our society.

  Biden /Harris Wide Open Southern Border Policy for the Demographic Upheaval of OUR Constitutional Republic

  Rampant Crime in Democratic controlled cities, and the possible contagion elsewhere

  Covid Pandemic, and its mishandling at the political, and bureaucratic levels.

  The unresolved questions /allegation regarding the flawed 2020 General Election

  January 6th Riot or "Armed Insurrection", depending upon patriotic perspective

  Joe Biden as Divisive Leader; Ineffective and Corrupt Executive

  Failed Education Industry, from an overall perspective, regarding all levels of education.

  Propagandistic Media in complete conflict with the First Amendment's guarantee of Freedom of Speech, and the awesome responsibility of a Free Press..

  "Orangeman Bad!"

  Bureaucracy rushing to a behemoth size, its unjustified expense, and far too often overreach.

  The Weaponized Deep State for political purposes

  A secular ambivalence to all that is real.

  Record number of overdose deaths from opioids and now Fentanyl

  Biden Administration's disastrous Foreign Policy

  Bidenflation /supply chain failure inevitably evolving into stagflation and recession.

  "Ultra MAGA Extremists" freely speaking louder AND LOUDER!

928 total vote(s)     What's your Opinion?

poll#132

Considering that Joe Biden is considered by so many to be the Imposter President: Is he actually knowledgeable enough, wise enough, patriotic enough to be this Constitutional Republic's president at this difficult point in these tumultuous times?

  Yes, Mr. Biden is thoughtful and kind, and just so different from the "Orange Man".

  No, this representation of "president" is either too corrupt, too stupid, or both to be a real president.

  I just want the fun guy, who knew how to make stuff work back.

670 total vote(s)     What's your Opinion?