Federal Judge: DOE Changes to Loan Forgiveness Program 'Arbitrary, Capricious'

In a case filed by the American Bar Association, a judge ruled Friday that the U.S. Department of Education improperly changed the terms of the Public Service Loan Forgiveness Program (PSLF) for some men and women who have dedicated their careers to public service. In his opinion, U.S. District Judge Timothy J. Kelly said changes to the eligibility requirements made several years after the program began were “arbitrary and capricious.” Kelly ruled in favor of three individual plaintiffs who worked several years in public service and were initially approved for loan forgiveness, only to be notified years later that the approval was retroactively denied by the Department of Education based on new rules.
          | TBA Law Blog