This one based on taxpayer standing.
The WI Institute for Law & Liberty is filing a lawsuit today against the Biden administration over student loan forgiveness. This suit is the first (and potentially only) lawsuit challenging the program based on taxpayer standing, according to WILL. Their suit alleges three counts:
1. Violation of the constitutional separation of powers – that an executive administration has no legal authority to unilaterally create a program that promises to wipe away more than $1 trillion of assets held by the U.S. Treasury, without approval from Congress.
2. Violation of the Equal Protection Doctrine – that the student aid debt relief program is motivated by a desire to “advance racial equity” and “narrow the racial wealth gap,” according to White House documents, and that to achieve equity, the program is “more likely” to help “black students,” “black borrowers,” and “other borrowers of color.”
3. Violation of the Administrative Procedures Act – that the program was authorized by the 9/11-era HEROES Act and that officials from the previous two administrations have determined that the President two administrations have determined that the President does not have the power to forgive loans in this manner.
WILL is also filing motions for a preliminary injunction – as well as a restraining order until the injunction is granted – to prevent the forgiveness or cancellation of any federal student loan before a decision is reached, referring to a decision made by the court in previous WILL suit (Faust v. Vilsack) by quoting, “purpose of a temporary restraining order is to preserve the status quo pending a decision on the merits. Once a loan is forgiven, it cannot easily be undone. A narrow temporary restraining order resolves any threat of serious delay.” WILL argues the purpose of the motions for a restraining order and preliminary injunction are “to prevent something quite irreversible and damaging.”
The suit is being filed on behalf of the Brown County Taxpayers Association, and the plaintiffs are President Biden, Education Secretary Miguel Cardona, COO of Federal Student Aid Richard Cordray, U.S. Dept. of Education, and the Office of Federal Student Aid. The suit was filed early this afternoon in the US District Court in Green Bay.