Betsy DeVos loses lawsuit after delaying student loan protection rule

From today’s CNN News:

A federal judge ruled that the Betsy Devos-led Department of Education improperly delayed implementing a rule to give some student loan borrowers relief.

U.S. District Judge Randolph Moss sided with attorneys general from 18 states and the District of Columbia who sued Education Secretary Betsy DeVos after she froze an Obama-era rule known as Borrower Defense to Repayment. The rule is intended to help students receive debt forgiveness if they were cheated by their college.

It was rewritten under the Obama administration in the wake of the collapse of Corinthian College, a for-profit school that misled prospective students with inflated job placement numbers. More than 130,000 borrowers have applied for debt forgiveness since 2015, a majority of whom attended for-profit colleges.

“Today’s decision in federal court is a victory for every family defrauded by a predatory for-profit school and a total rejection of President Trump and Betsy DeVos’s agenda to cheat students and taxpayers,” said Massachusetts Attorney General Maura Healey, who led the coalition.

The rule was due to take effect in July, but DeVos delayed the implementation after a group representing for-profit colleges in California sued the Department of Education seeking to block it from taking effect.

A spokesperson for DeVos said the department is reviewing the ruling. Moss found the department’s argument for delaying the rule “procedurally defective” and said it “was arbitrary and capricious.” In his 57-page opinion, he wrote that some of the department’s legal rationales “lack any meaningful analysis.”

Read the complete article here.