By Darren Lyn
HOUSTON, United States (AA) - The US Supreme Court on Friday struck down President Joe Biden's student loan debt forgiveness plan in a 6-3 vote.
The justices ruled on two different cases, one of which stated that the debt relief proposal was an unlawful act of presidential power because it did not get formal approval from Congress.
The program aimed at delivering up to $20,000 of relief to an estimated 43 million Americans saddled with outstanding student loan debt which would have totaled approximately $430 billion.
The court rejected arguments that the president's plan was lawful under the 2003 Higher Education Relief Opportunities for Students Act (HEROES Act) which stated the government can provide relief to recipients of student loans when there is a “national emergency,” allowing it to act to ensure people are not in “a worse position financially” as a result of the emergency.
Chief Justice John Roberts said the HEROES Act language was not specific enough and "requires that Congress speak clearly before a department secretary can unilaterally alter large sections of the American economy."
The high court's rejection of the student loan debt relief plan now puts pressure on the Biden administration to find an alternative program that will not encounter further legal challenges. This is a major challenge for Biden as he runs for reelection in 2024 considering that the president pledged during the 2020 campaign to tackle student loan debt.
The student loan repayment process was put on hold during the COVID-19 pandemic, but with the Supreme Court's decision striking down Biden's debt forgiveness plan, Americans must now begin paying off their student loan debts with the restarting of those payments due in October.