Republican attorneys general and many GOP officials are also seeking ways to tank the debt relief plan.
Republican attorneys general and corporate advocacy groups are exploring ways to sue the Biden administration over its newly announced plan to cancel $10,000 in federal student loan debt for most borrowers, hoping the conservative-packed U.S. judiciary will strike down the executive action and deny badly needed relief to around 40 million people.
Shortly after President Joe Biden announced his debt forgiveness plan, the Job Creators Network — a dark money organization representing business groups and executives —that it is “weighing its legal options to block President Biden’s illegal student loan bailout,” calling the move “executive overreach.”
Americans for Prosperity, an organization founded by billionaire Charles Koch and his late brother David, also expressed outrage at the Biden administration’s plan,that “this shameless handout will only push education costs even higher, cause people to take out even bigger loans, and set a dangerous precedent that the government will just come along and erase their debt in the future.”
The key question vexing right-wing groups and officials, though, is whether any party actually has standing to sue over the debt relief plan, the product of years of sustained grassroots activism.published in April argues that essentially no one — not taxpayers, not former borrowers, not state governments, not loan servicers, and not Congress — has standing under current law and legal precedent to challenge student debt cancellation in court.
Ken Paxton, the Republican attorney general of Texas and one of several GOP officials seeking ways to tank the debt relief plan, acknowledged the standing obstacle in an appearance on the right-wing channel“I don’t think this is constitutional,” said Paxton. “We have to find a way in the state of Texas to find standing, or we need individuals to sue that have damages as a result of this.
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