The case in question is not linked to the legal contestation of Biden’s comprehensive program for student loan forgiveness.
The Supreme Court has rejected a request by several for-profit colleges, including Everglades College, Lincoln Educational Services Corporation, and American National University, to halt a $6 billion settlement that would cancel student loan debts for some borrowers who were deceived by these institutions.[mfn]https://www.supremecourt.gov/orders/courtorders/041323zr_f29g.pdf[/mfn]
In 2019, a group of student loan borrowers sued the Department of Education, claiming that their borrower defense claims against the colleges they attended were not being processed. These claims had been filed under federal regulations that allow loan debt to be discharged in cases of fraud, as the colleges had allegedly falsely advertised or misled students.
Under President Joe Biden, the Department of Education reached a settlement with the students in 2022, agreeing to forgive $6 billion of student loans for nearly 290,000 borrowers.[mfn]https://www.ppsl.org/news/student-borrowers-win-another-victory-in-sweet-v-cardona-as-supreme-court-denies-intervenors-scotus-petition-attempting-to-stop-settlement[/mfn] The settlement included a list of colleges, primarily for-profit schools, whose students would be eligible for loan forgiveness.
It is important to note that this case is separate from the ongoing legal battle over Biden’s broader $20,000-per-borrower forgiveness plan for federally-held student loans[mfn]https://studentaid.gov/sites/default/files/sweet-v-cardona-school-list.pdf[/mfn], which is currently being reviewed by the Supreme Court. A decision in that case is expected to be made by June.