[22-535] Department of Education v. Brown

Department of Education v. Brown

Wikipedia · Justia (with opinion) · Docket · oyez.org

Argued on Feb 28, 2023.
Decided on Jun 30, 2023.

Petitioner: United States Department of Education, et al..
Respondent: Mayra Brown, et al..

Advocates:

• Elizabeth B. Prelogar (for the Petitioners)
• J. Michael Connolly (for the Respondents)

Facts of the case (from oyez.org)

Fulfilling one of then-presidential candidate Joseph Biden’s campaign promises, the Secretary of Education invoked its authority under the HEROES Act to create a loan forgiveness program in response to the COVID-19 pandemic and national emergency. Under the program, a student borrower qualified for loan forgiveness if (1) they made less than $125,000 individually or $250,000 if married and filing jointly, and (2) they had Direct, Perkins, or FFEL loans that were not commercially held. Qualified borrowers could receive $20,000 if they received a Pell Grant and $10,000 if they did not.

Myra Brown and Alexander Taylor both have student loans. Brown is ineligible for debt forgiveness under the Program because her loans are commercially held, while Taylor is ineligible for the full $20,000 in debt forgiveness because he did not receive a Pell Grant.

They challenged the loan forgiveness program, arguing that if the Biden administration had followed proper procedures in adopting the plan, they would have been able to weigh in on the plan and urge for a plan that would have been more beneficial to them. The district court found that the program was an unconstitutional exercise of legislative power vested in Congress and issued a nationwide injunction. The U.S. Court of Appeals for the Fifth Circuit declined to stay the injunction.

Question

Do these two student-loan borrowers have Article III standing to challenge the Department of Education’s Student Loan Debt Relief Plan?

Is the Plan an unconstitutional exercise of legislative power by the Secretary of the Department of Education?

Conclusion

Respondents lack Article III standing to assert a procedural challenge to the student-loan debt-forgiveness plan adopted by the Secretary of Education pursuant to Higher Education Relief Opportunities for Students Act of 2003 (HEROES Act). Justice Samuel Alito authored the opinion for a unanimous Court.

For a plaintiff to have standing, they must establish: (1) a concrete and particularized injury, (2) that is fairly traceable to the defendant's action, and (3) that is likely to be redressed by a favorable decision. Here, the “fairly traceable” element fails. The respondents' injury is not “fairly traceable” to the plan enacted under the HEROES Act, as they have not established a direct link between the HEROES Act plan and their desired outcome of a more favorable loan-forgiveness program under the Higher Education Act of 1965 (HEA). Any link is too tenuous and speculative to establish standing.