SCOTUS Student Loan Case Could Have Ripple Effect

President Biden has struggled for most of his administration to get student loans forgiven.

Over the next three decades, it would cost around $400 billion According to the Congressional Budget Office, and would predominantly Favor Americans with higher incomes have a greater chance of being successful. The majority of Americans have Never A student loan less than 50% Even One in five people have a degree, but only one in five have one.

These are all factors that make it difficult for Congress to support the policy. That is why Biden eventually used an executive order loophole known as the Higher Education Relief Opportunities for Students Act (or the HEROES Act) to get the job done. The HEROES act is another remnant of the massive government expansion that followed the September 11th attacks. It basically gives the Secretary for Education the power to modify or waive federal student loan terms during a national emergency.

Nancy Pelosi even has admitted She doesn’t believe Biden has the power or ability to erase student loan amounts without Congress. However, the administration launched a Hail Mary prior to the midterms which has invariably ended up in court. Two lawsuits were heard by the Supreme Court. Oral arguments are scheduled for Tuesday.

The court will first need to determine whether the plaintiffs in this case have standing. This is a legal term that indicates whether the complaining parties have the right to sue. The plaintiffs will have to prove that they were financially (or otherwise), harmed by this action. However, if the court grants permission for the cases to proceed, it’s bound to be interesting.

Current court majority is a conservative 6-3. In recent years, the court has been inclined to oppose government overreach through regulation, executive action or government agencies exceeding their constitutional bounds.

This case involves the Major Questions Doctrine (MQD), as mentioned in its original opinion.EPA v West Virginia() Last year. MQD is a new rule in statutory interpretation that states government agencies cannot operate outside the boundaries of the power Congress has granted them. This applies when the issue involves significant economic and political weight. The price tag on student loans bailouts certainly meets the second part of this standard.

If the court rules against the Biden Administration bailout, which is a bailout for corrupt institutions and colleges), it would be not only the end of the argument but also a significant reining in government power.

Today, Congress doesn’t get much done. The primary task of making laws has been delegated to unelected bureaucrats, including the president, and agencies. This leaves the American people with little representation and limited ability to protest bad government policies.

If your senator or representative wanted to vote to cancel student loans, and you didn’t like that decision, you could influence them (or remove them from office). But if the policy is carried out by the executive branch, the Secretary of Education, and an old loophole in the law, you as a citizen have no recourse—even though you’re the one that ultimately picks up the tab!

Here lies the greatest flaw in our current political system. The MQD is a promising dam that conservatives have been trying to build in order to stop the flow of progressive policies, and the endless cash flow required to fund them. This is an exciting opportunity for SCOTUS to continue to embed this standard in our law through these cases.

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