ERISA. (Photo: Shutterstock)
The Biden administration's student loan forgiveness plan remains on hold, after the 5th US Circuit Court of Appeals – the second federal appeals court – denied a request from the federal government to temporarily reverse a lower-court order that blocked rollout of the plan.
A three-judge panel of the New Orleans-based appeals court on Wednesday rejected the request in a brief order, which means the plan will remain on hold while the administration appeals a decision from a Texas judge that declared the debt relief proposal unlawful.
The Biden administration will now turn to the US Supreme Court to seek a reversal of the 5th Circuit's decision, according to a court filing from the government in a separate legal challenge to the plan. The White House had no immediate comment on Wednesday's ruling.
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