Student loan forgiveness resolution on hold until 2023

Dec 6, 2022, 5:00 PM | Updated: Dec 7, 2022, 7:59 am

students walk on the U of U campus, utah colleges may get a tuition freeze...

Students walk on campus at the University of Utah in Salt Lake City on Tuesday, Aug. 23, 2022. (Jeffrey D. Allred/Deseret New)

(Jeffrey D. Allred/Deseret New)

SALT LAKE CITY —  Uncertainty continues to loom as President Joe Biden’s student loan forgiveness program remains blocked. The program will stay on hold until the Supreme Court makes a ruling about it next June.

What’s going on with the student loan forgiveness program?

Jason Iuliano, associate professor of law for the University of Utah spoke to Dave and Dujanovic about where the case is so far.

Iuliano said the court issued a writ of certiorari, which calls for a quick resolution because of the importance of the case.

“To put that in perspective, between 1988 and 2019, it’s only been granted three times. And so this is a very, very unusual procedure to get before the Supreme Court.”

Because of the writ, the Supreme Court will hear arguments about the program sometime around February 2023 and issue a ruling in June 2023.

Next steps

Iuliano believes there’s a high chance the Supreme Court will strike the program down.

“Odds are the Supreme Court finds that the forgiveness overstepped the bounds of the executive authority,” Iuliano said.

Though the Supreme Court’s decision will focus on student loan actions, Iuliano said the decisions made by lower courts could make waves.

Iuliano said the lower courts invoked the Major Questions Doctrine. 

“What that says is that when Congress delegates action, if it’s very, very sweeping in magnitude, the power that they’re giving to the executive, they need to be very, very explicit in the bill, that this is the type of power that they want the President to have.”

That doctrine could be in other cases about recent executive actions.

“This is a much, much bigger case than just student loan debt,” Iuliano said.

Alternative routes

Iuliano said that, for those who can’t afford to make payments toward their student loan debt, bankruptcy can be an option.

Though it’s a common belief that filing for bankruptcy won’t eliminate student debt, Iuliano said about 50% of people who file have their student debt discharged.

While the Department of Education often fought against student loan debt being wiped out, it made a recent move that might make things easier on debtors.

“The Department of Education has actually come out with these set of standards for their own internal criteria for when they will stop challenging these cases,” Iuliano said.

Iuliano said he was more optimistic about filing for bankruptcy than he was about the chances the Supreme Court upholds Biden’s program.

Related: Biden extends student loan repayment freeze as program remains in court

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

Today’s Top Stories

Education + Schools

Jose Rios-Mojica gets a fist-bump from a fellow graduate after giving an address at a commencement ...

Logan Stefanich,

‘They never gave up’: 39 incarcerated individuals graduate from South Park Academy

Monday's graduation was the first for South Park Academy at the new Utah State Correctional Facility and the first through the Salt Lake City School District.

19 hours ago

A BYU psychologist tells Dave and Dujanovic that there are benefits to children being bored. Photo ...

Mark Jones

Are your children bored? Is it good or bad? An expert weighs in

A psychologist at BYU says there are some real benefits to children being bored.

2 days ago

The book of mormon & bible banned in some Davis School District schools...

Aimee Cobabe

Following complaint against Bible in schools, Book of Mormon receives complaint for “sensitive content”

First it was the Bible and now Davis School District has a complaint against the Book of Mormon being on school bookshelves.

5 days ago

Utah Valley University started their Police Academy back in 1996 and this year, the school had more...

Aubri Wuthrich

UVU Police Academy has more women graduating than ever before

Female officers tend to use less force and are good at de-escalating situations and using communication techniques.

5 days ago

AI being used to detect guns...

Allessandra Harris

AI used to detect guns and keep schools safe during shooting situations

From writing essays to generating art, now AI is detecting guns and helping keep schools safe in shooting situations.

6 days ago

A legal analyst in Utah said that nobody intended a Utah law to be used to remove the Bible from sc...

Aimee Cobabe

Davis schools remove Bible from certain school shelves

A Davis district review of the Bible found it didn't meet the "sensitive materials" definition in Utah, and it was returned to high schools.

6 days ago

Sponsored Articles

close up of rose marvel saliva blooms in purple...

Shannon Cavalero

Drought Tolerant Perennials for Utah

The best drought tolerant plants for Utah can handle high elevations, alkaline soils, excessive exposure to wind, and use of secondary water.

Group of cheerful team members high fiving each other...

Visit Bear Lake

How To Plan a Business Retreat in Bear Lake This Spring

Are you wondering how to plan a business retreat this spring? Read our sample itinerary to plan a team getaway to Bear Lake.

Cheerful young woman writing an assignment while sitting at desk between two classmates during clas...

BYU EMBA at the Marriott School of Business

Hear it Firsthand: 6 Students Share Their Executive MBA Experience at BYU’s Marriott School of Business

The Executive MBA program at BYU offers great opportunities. Hear experiences straight from students enrolled in the program.

Skier being towed by a rider on a horse. Skijoring....

Bear Lake Convention and Visitors Bureau

Looking for a New Winter Activity? Try Skijoring in Bear Lake

Skijoring is when someone on skis is pulled by a horse, dog, animal, or motor vehicle. The driver leads the skiers through an obstacle course over jumps, hoops, and gates.

Banner with Cervical Cancer Awareness Realistic Ribbon...

Intermountain Health

Five Common Causes of Cervical Cancer – and What You Can Do to Lower Your Risk

January is National Cervical Cancer Awareness month and cancer experts at Intermountain Health are working to educate women about cervical cancer.

Kid holding a cisco fish at winterfest...

Bear Lake Convention and Visitors Bureau

Get Ready for Fun at the 2023 Bear Lake Monster Winterfest

The Bear Lake Monster Winterfest is an annual weekend event jam-packed full of fun activities the whole family can enjoy.

Student loan forgiveness resolution on hold until 2023