President Joe Biden’s administration has forgiven billions of dollars of student loans under the borrower defense rule. The rule has been around for decades, but was rewritten by the administration back in 2022. The program allows people who were defrauded by their school to receive loan forgiveness.

Now, after the lower court ruling, the rule could be further narrowed, according to Politico.

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“It simply means that the Supreme Court will hear arguments as to the scope of the Department of Education’s authority related to [the borrower defense rule],” Altmire told the outlet. “It remains to be seen how the incoming Trump administration will argue the government’s side of the case, but we strongly believe the facts of the case will show the Department’s onerous [borrower defense rule] went well beyond the agency’s authority.

This case will test the limits of the Biden administration’s authority under the Higher Education Act of 1965. The Supreme Court decision will affect how and when defrauded students can get relief.

The Biden administration has pushed for student loan relief, including canceling loan debt, although the administration has faced court challenges that have greatly diminished its efforts to forgive student loans.

Biden pledged a student loan forgiveness plan on the campaign trail, and after he was elected, his administration announced it would push to cancel the debt of $10,000 per borrower and $20,000 for Pell Grant recipients.

Several states sued Biden and the Department of Education over the plan, although the administration kept applications for loan forgiveness open before finally closing them in November 2022.

Then in June 2023, the Supreme Court struck down the forgiveness plan, dealing the administration a major blow ahead of last year’s elections.

Republicans are largely against student loan forgiveness and argue that it is unfair to borrowers who have worked hard for years to successfully and responsibly pay off their student loan debt. For many of the cases still underway, the Trump administration could stop defending them, thus nullifying the initiative.